The Federal Trade Commission (FTC) was active in the consumer protection space, announcing two Advance Notices of Proposed Rulemaking (ANPRM). The focus was on deceptive pricing, particularly with housing and automobiles. The FTC issued an ANPRM to address unfair or deceptive fee practices in the rental housing market, distributed checks to consumers negatively impacted by a landlord, and sent warning letters to auto dealership groups across the country. These stories and more after the jump.
Wednesday, March 11, 2026
Bureau of Consumer Protection; Housing; Advertising and Marketing
- The FTC announced that it is distributing checks totaling more than $47.2 million to consumers who were deceived by undisclosed fees and other unlawful charges imposed by Invitation Homes, one of the nation’s largest single-family home landlords. The FTC sued Invitation Homes in September 2024, alleging that the company: (1) deceived rental applicants about lease costs, (2) charged renters undisclosed fees for “services” such as “smart home technology” and “utility management” that renters could not opt out of, (3) failed to properly inspect homes before move-in, and (4) unfairly withheld tenants’ security deposits—including by charging for normal wear-and-tear, pre-existing damages, and even renovations. To settle the FTC’s complaint, Invitation Homes agreed to pay $48 million in consumer compensation and clearly disclose its leasing prices, establish fair security deposit refund procedures, and cease other unlawful conduct. Consumers who paid Invitation Homes $45 or more in covered fees or charges between January 2021 and September 2024 and have not already received a credit or refund from the company are covered by the settlement. For more about the lawsuit and complaint, see our previous blog post: FTC Updates (September 16-27, 2024).
Bureau of Consumer Protection; Advertising and Marketing
- The FTC has issued an Advance Notice of Proposed Rulemaking (ANPRM) seeking public comment on its Rule Concerning the Use of Prenotification Negative Option Plans (the “Negative Option Rule”), asking whether the current Rule should be amended and what regulatory alternatives might better address deceptive or unfair negative option practices. Negative option marketing—in which a consumer’s failure to take affirmative action is treated as consent to be charged for goods or services and which routinely arises in online automatic renewals or recurring subscriptions—has drawn significant scrutiny, with the FTC receiving more than 100,000 complaints over the past five years related to misleading disclosures, unauthorized billing, and difficult cancellation processes. Through the ANPRM, the FTC is soliciting input on how negative option programs operate in the marketplace, what practices prevent informed consumer consent or deter cancellation, and what specific measures—including retaining the current Rule, adopting provisions of the vacated 2024 Rule, or pursuing non-regulatory alternatives such as consumer and business education—should be considered to address this practice. Interested parties will have until April 13, 2026 (30 days after publication in the Federal Register) to submit comments. Businesses and consumers that utilize or are affected by subscription-based or automatic renewal programs should closely monitor this rulemaking and consider whether to submit comments.
Thursday, March 12, 2026
Bureau of Consumer Protection; Housing; Advertising and Marketing
- The FTC announced it is seeking public comment on a proposed rulemaking to address unfair or deceptive fee practices in the rental housing market nationwide. Through an Advance Notice of Proposed Rulemaking (ANPRM) published in the Federal Register, the FTC is soliciting written comments, data, evidence, and analyses concerning rental housing fees and charges across the entire lease lifecycle—from application to move-out. The FTC’s concern is that the failure to advertise the true total rent limits consumers’ ability to make informed financial decisions, increases search costs, and may undermine competition among rental housing providers. The ANPRM covers a broad range of topics, including disclosures of total rent and mandatory fees, the nature and refundability of charges, application fees, security deposits, billing practices, and consumer choice. Recognizing that case-by-case enforcement addresses only some aspects of harmful fee practices, the FTC is exploring whether a formal rule is needed—one that would also enable the agency to seek civil penalties against violators and more easily obtain redress for affected consumers. Interested parties will have until April 13, 2026 (30 days after publication in the Federal Register) to submit comments. This proposed rulemaking follows recent FTC enforcement actions against major landlords, including a $48 million settlement with Invitation Homes and a $23 million settlement with Greystar Real Estate Partners, involving allegations of misleading fee disclosures.
Friday, March 13, 2026
Bureau of Consumer Protection; Automobiles; Advertising and Marketing
- The FTC announced that it sent warning letters to 97 auto dealership groups across the country, putting them on notice that advertised vehicle prices must reflect the total price—including all mandatory fees—that consumers will actually be required to pay. The letters urge auto dealers to review their advertising and pricing practices to ensure that advertised prices match the prices actually charged to consumers; the letters also make clear that the FTC will continue to monitor the marketplace and take further action as warranted to ensure compliance with the FTC Act. The letters specifically identify several illegal pricing practices in the auto industry, including advertising prices that omit required fees, advertising discounts not available to all consumers, failing to account for required down payments, conditioning advertised prices on dealer financing, requiring consumers to purchase additional items not reflected in the advertised price, and advertising vehicles that are unavailable or nonexistent.