FTC Orders DreamCloud to Pay Huge Fine After False USA-Made Advertising

For many people, the quality of their mattress is highly important. After all, it’s where you spend 1/3rd of your lifetime. How well you sleep can affect every aspect of your life, from mood, energy, immunity, and more. It’s no wonder many Americans shop for mattresses made here in the USA

Every now and again, there is a brand that rides the label of “Made in the USA” under false promises, much to the misfortune of the American consumer. In 2021, the Federal Trade Commission (FTC) responded to a complaint on the mattress brand, DreamCloud, who was doing exactly this.

False Claims by DreamCloud Owner, Resident Home

The original fine was issued in 2021 by the FTC after Resident Home was found to be advertising under false claims that they used 100% American materials in their DreamCloud mattresses. A fee totaling $753,000 was ordered to Resident Home at this time. 

The FTC conducted an investigation and found that DreamCloud mattresses were either completely imported, composed of imported materials, or finished overseas. A far stretch from their promotional claim at the time: “proudly made with 100 percent USA-made premium quality materials.”

In an effort to make amends with the consumers that the brand deceived, the FTC is sending close to $45,000 of checks out to patrons who purchased mattresses under these false claims. Additionally, the FTC plans to contact another 12,000+ potentially affected consumers. If you believe you purchased a DreamCloud mattress under false USA-Made advertising, you can reach out to the JND Legal Administration at 844-798-0740 to inquire about compensation.

About the Brand

The brand DreamCloud sells bedroom products such as bed frames, furniture, bedding, and mattresses. They are owned by the sleep company, Resident Home LLC, self-reportedly “America’s #1 Mattress Company.” Resident also owns additional mattress companies, Awara, Nectar, and Siena.

According to the DreamCloud website, their products are manufactured globally, including in the US. Yet, that is where the detail stops. Currently, no advertisements use the Made in the USA label or reports of American materials.

Resident recently opened a new 300,000-square-foot manufacturing facility in Jeffersonville, IN. This may have been inspired by the lash back after they falsely claimed their products were made in the USA.

Made in USA Labeling Done Right

For a brand to legally use the Made in USA label, their products must be mostly manufactured in the United States or use nearly all materials that are US sourced. Thanks to the FTC, there are consequences to false reporting. In 2022 alone, the FTC issued $392 million in refunds to consumers, a fraction of what companies were fined for their misleading labels. 

Brands like DreamCloud may think that their manufacturing claims are harmless when in fact, they aren’t. Not only do they deceive consumers, but they also divert potential business away from American brands that are honest about their processes. 

You can report brands and businesses for false or misleading claims to the FTC here.

About The Author



Mike leads research on the team, writes, and manages the YouTube channel. He’s been buying products made in the USA for as long as he can remember. It’s in his blood, growing up working in American manufacturing.