Online course creators are expert marketers. Aside from your subject-matter expertise, you know how to write a compelling sales page, design a high-converting funnel, and craft the perfect email sequence to get opens and clicks.
But here’s what most course creators don’t realize:
False advertising laws don’t just apply to big-name brands or billion-dollar beauty companies. They apply to you, too.
Every promise you make—whether in an ad, on a sales page, or in a webinar—is a legal claim.
And if that claim is false, misleading, or unsubstantiated, you could land in serious legal trouble.
And we’re seeing more and more claims roll in.
Let’s break down how these laws work, who enforces them, and how to stay compliant while still selling confidently. Whether you’re promoting a digital course, group program, or mastermind, this post is for you.
What “Counts” as False Advertising?
False advertising happens when a course creator makes a claim that’s untrue, deceptive, or misleading in a way that could influence buying decisions. These claims don’t have to be outright lies—even implied or exaggerated claims can get you into hot water.
Common course creator examples include:
- “Make $10K in 30 days!”
- “We’re the #1 Instagram course on the market”
- “100% success rate”
- “You’ll get published in Forbes if you follow this program”
These may feel harmless—or even aspirational. But if you can’t back them up with solid proof, they could violate FTC guidelines or invite a competitor lawsuit.
Even if you didn’t mean to mislead anyone, the law still holds you responsible. If a reasonable consumer would misunderstand your message—and you didn’t back it up with proof—you could be liable.
Who Enforces these False Advertising Laws?
This is where it gets confusing. There are several key players here:
1. The Federal Trade Commission (FTC)
The FTC watches industries with bold income or transformation claims—like online coaching, business strategy, and health. If your course materials sound too good to be true, the FTC may demand proof and launch a full investigation. It can issue:
- Civil Investigative Demands (CIDs)
- Cease and desist orders or Injunctions (legal orders to stop doing something)
- Referrals to the Department of Justice (oof)
And once you’re on their radar, you’ll need to defend every marketing claim you’ve made– with solid proof and stats.
2. State Attorneys General
A state attorney general (the “AG” for all you Law and Order fans) is the chief legal officer of a state, responsible for advising the state government, representing it in court, and enforcing state laws. They serve as a public advocate, protecting the interests of the state and its citizens. Each state has its own version of consumer protection laws the State AG enforces (called “UDAP” laws). Your state Attorney General can investigate and prosecute deceptive practices—even if you’re a small business.
3. Your Competitors
Even if you’re not a “big name,” a competitor can claim you hurt their business with false or exaggerated advertising. They can use this to take you to court or file a complaint with industry watchdog groups (think the BBB, National Advertising Agency Alliance, etc).
Under the Lanham Act, (where the trademark act lives, btw) your competitors can sue you in federal court for false advertising. If they can prove that your marketing misled consumers or hurt their business, they might win money or an injunction (a court order to stop doing something).
4. Bonus: Not legal enforcement, but PayPal or Stripe might Freeze Your Account
A “non-legal” issue to note: False or misleading claims often lead to chargebacks, refund requests, and negative reviews, leading platforms like Stripe or PayPal to flag or freeze your account if too many complaints roll in. OUCH.
So What Does the Law Require of Course Creators?
Course Creators must stay compliant with all marketing laws– full stop. To stay compliant, course creators must ensure all claims in their marketing, advertising, sales pages, and emails are:
- Truthful – Don’t say your course does something it doesn’t.
- Not misleading – Avoid exaggeration or ambiguous statements.
- Substantiated – Back up your claims with real data or evidence. Some really good information on substantiation can be found directly from the FTC in this report: https://www.ftc.gov/news-events/news/speeches/myths-half-truths-about-deceptive-advertising (it’s an oldie, but a goodie).
This includes statements in:
- Testimonials (especially ones that show earnings or big outcomes)
- Comparisons to competitors
- Claims about guarantees, timelines, or transformation your course provides.
Tip: FTC rules look at the “net impression” of your ad—not just the fine print. So if your headline says “Double your income in 30 days,” a disclaimer in small print won’t protect you.
What You Can Say (Legally!)
At this point, you may be wondering “Well what CAN I say?” And that’s fair. You can always say things that are substantiated, truthful, and not misleading, like we discussed above.
And you can also use something called “puffery”—statements that express opinion rather than fact.
Examples of puffery:
- “This is my favorite business course ever!”
- “You’ll love how fast this system works!”
- “The most empowering marketing strategy you’ll try!”
Puffery doesn’t require proof because it’s subjective– it’s an opinion! But once you shift into measurable claims (“100% of students get clients in 60 days!”), your need for substantiation kicks in.
Where to go from here
Course creators are some of the most innovative marketers online—but with those great conversion rates comes great responsibility. The best way to protect your business is to know the rules, follow them, and get legal guidance before you press “publish.”
So before you hit launch on your next funnel or course, take these legal steps:
- Audit your claims – Review your website, sales pages, and testimonials. Are all of them true? Are any of them just a smidge misleading? Address those.
- Back up bold claims – If you say something specific, keep the proof! Back up your big, bold successes with the data to support them.
- Label testimonials honestly – Don’t cherry-pick or edit in misleading ways. Definitely don’t reword reviews!
- Use disclaimers thoughtfully – But remember, disclaimers aren’t enough on their own, and they need to be conspicuous. No hiding them in small text in the footers or in a hard-to-see font — make them visible!
- Work with a lawyer – We’re trained in this. Get our legal eyes on your sales pages or email sequences with bold results-based language.
Need help reviewing your sales page or protecting your brand from false advertising risks?
Contact CJFox Law to get legal guidance tailored to course creators. With deep experience in the advertising industry, we’ll help you market with confidence and stay compliant every step of the way!
