FTC penalizes parent company of Nectar Sleep over false “Made in USA” ads

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In a statement, FTC Bureau of Consumer Protection Director Samuel Levine said, “Baseless claims that products are made in the USA hurt not only consumers but also honest businesses that build their products here. Unfortunately, we see too many repeat offenders like Resident Home.”

Levine added that the FTC recently finalized the Made in USA Labeling Rule, which imposes civil penalties and other reliefs against companies that violate it. He said. “We will not hesitate to seek strong penalties against Made in USA fraud.”

In a statement, FTC Commissioner Rohit Chopra said, Wow, that was fast. Soon after the Federal Trade Commission “punished” Nectar Sleep through a no-money, no-fault order, the company and its affiliates clearly realized the FTC wasn’t serious
about Made in USA fraud, so here we are again.”

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In addition, Commissioner Chopra stated, “FTC orders are not suggestions, but many bad actors view them as such. And when companies do not adhere to agency orders, it is often a sign of more serious problems. Violations of FTC orders are punishable with civil penalties and a broad range of other relief.”