Blog Articles
New FDA Warning Letters Further Complicate Delta-8 THC Sales
May 16, 2022
by David Khalaf
Earlier this month, the U.S. Food and Drug Administration (FDA) for the first time issued warning letters regarding products that contain delta-8 THC. Letters were issued to five companies that were marketing products labeled as containing delta-8 THC in ways that, according to the FDA, violate the Federal Food, Drug, and Cosmetic Act (FDCA). Additionally,…
Registrars Use These Three Excuses to Help Enable Rogue Internet Pharmacies
March 28, 2022
by David Khalaf
As part of our mission to help create an internet everyone can trust, LegitScript regularly reports “rogue” internet pharmacies to the registrars that sponsor these domain names. Our Domain Name Enforcement program has helped to stop more than 83,000 rogue pharmacy websites since its inception. In 2021 alone, LegitScript issued 65 notifications comprising 3,147 domain names. A…
A New Study Shows How Registrars Can Help Stop Illicit Internet Pharmacies
February 14, 2022
Beginning in August 2021, LegitScript undertook a three-month project to analyze the value of domain name registrars suspending illicit internet pharmacies. In particular, we aimed to collect data on the impact suspensions have on organic search engine results for illicit internet pharmacies. Our findings indicate the important role registrars play in helping thwart public access…
Skin Lightening Cosmetics: The Ugly Truth Behind Global Beauty Standards
January 18, 2022
by Pim Pratt
Many cultures associate fair complexions with beauty, prosperity, and better socioeconomic status. As a result, skin lightening products, which typically come in the forms of creams, lotions, and soaps, are popular throughout the world with mostly female consumers. A simple search for “skin lightening cream” yields thousands of results for cosmetic products that can be…
Why “Christmas Loans” Aren’t as Festive as They Sound
December 7, 2021
by David Khalaf
According to the Center for Responsible Lending (CRL), payday loans increase around the holidays, likely because many consumers need extra cash for holiday shopping or travel. It’s for this reason many online payday lenders make an aggressive marketing push during this season, and why payment service providers should be on the lookout for predatory lenders…
How Fraudsters Target Military Veterans
November 11, 2021
by David Khalaf
Veterans Day is a popular time for businesses to advertise to the military, including merchants offering predatory services. For this reason, it’s important for payment service providers to scrutinize merchants offering help with official services to ensure they aren’t taking advantage of customers. For example, some merchants offer to help retired military members process form…
Signs Your ‘Morkey Mouse’ Costume May Not Be Genuine
October 22, 2021
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
October 6, 2021
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)
September 22, 2021
by David Khalaf
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
August 31, 2021
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
August 12, 2021
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
July 20, 2021
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
July 7, 2021
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
June 16, 2021
by Saya Horie
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 by…
Pandemic Underscores Problem of Fake Medical Device Registrations
June 16, 2021
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…