News & Updates
The Latest on Internet Pharmacies, Supplements, Designer Drugs,
and Other High-Risk Merchants
Signs Your “Morkey Mouse” Costume May Not Be Genuine
Earlier this month we wrote about how decorative contact lenses are regulated by the FDA and can pose real risks if used improperly. But they aren’t the only threat to merchant portfolios and e-commerce platforms during the fall season. Halloween costumes themselves can present an additional potential danger: intellectual property infringement. IP-infringing merchants often seek…
Laws Around Decorative Contact Lenses Can Be Eye-opening
In early fall, it’s prime season for merchants selling Halloween costumes, theatrical makeup, and, increasingly, decorative contact lenses. Since these contact lenses typically have no vision-correction purposes, consumers and payment facilitators alike may not realize they are products regulated by the Food and Drug Administration (FDA) that pose real risks if used improperly. Also called…
Four Reasons to Bet on Telemedicine’s Future (and One Reason for Concern)
Although telemedicine was on a slow upward trend before the pandemic, its compulsory adoption by millions of people in the last 18 months has supercharged an industry that many had previously considered to be for niche audiences or for limited uses. Even as people return to in-person activities, telemedicine is proving its staying power in…
Labor Day Sales Can Boost Drop-shipping Chargebacks
Labor Day weekend is one of the biggest for sales in the United States. These bargains traditionally include big-ticket items such as appliances and mattresses, but now also include smaller items such as backpacks, clothes, and school supplies as kids get ready to return to the classroom. These smaller, mass-produced items are perfect for online…
This “Legal” THC Is Popping Up in Merchant Portfolios
Growing consumer interest and shifting federal regulatory priorities on the cannabis industry have led to merchants capitalizing on certain market ambiguities. LegitScript has observed a growing trend of merchants offering products marketed as containing delta-8 THC, an isomer of the cannabis plant’s most well-known and primary psychoactive compound, delta-9-tetrahydrocannabinol (delta-9 THC). Starting in 2020, LegitScript…
With Travel Increasing, so Are Chargeback Risks for Payment Service Providers
Summer is peak travel season and typically one of the busiest times of year for airlines, resorts, and other travel and entertainment businesses with many moving parts. That’s especially true this year, as generally lower levels of COVID-19 cases paired with pent-up demand are yielding travel volume equal to and in some cases greater than…
Rise in Telemedicine Use Poses Challenges and Opportunities for Inclusivity
The pandemic has changed healthcare in the United States, making telemedicine and other online services increasingly commonplace. Although many last year sought out telehealth offerings to avoid exposure to the coronavirus, the convenience of online services may make telehealth a regular feature of people’s healthcare. That’s particularly important for disadvantaged populations, who often have greater…
Leech Websites Serve as Accomplices to the Pirates of Illicit Streaming
In January of this year, amendments to the Japanese Copyright Act took effect to strengthen internet anti-piracy measures, joining other countries with strict copyright laws such as the US. Japan’s expanded scope includes websites offering illegal downloads of manga, books, newspaper articles, academic journals, and software programs, among other copyrighted materials, and was preceded…
Pandemic Underscores Problem of Fake Medical Device Registrations
Products marketed to treat, mitigate, or prevent the COVID-19 virus have saturated the online market over the past year as consumers have become desperate to protect themselves and their families. While many people are now likely aware of the flood of deceptive claims made around drugs, supplements, and other products, LegitScript has observed another scam…
Trend Toward User-uploaded Content May Increase Risk of Child Sexual Abuse Material
Like many forms of online entertainment, the adult industry is increasingly shifting to a model based on user-created and user-uploaded content, rather than the traditional studio-produced model. This decentralized format may create new opportunities for individual content creators, but it poses significant risks for adult content platforms, social media companies, and payment service providers. User-uploaded…
