'Free Trial' Plus False Claims Equals More FTC Enforcement In Supplement Market
This article was originally published in The Rose Sheet
Executive Summary
FTC on consecutive days announced court order closing a California business allegedly charging consumers for products and enrolling them in negative-option continuity plans without their consent after they responded to bogus free trial online offers, and started mailing 16,596 checks totaling more than $750,000 to consumers who bought deceptively marketed supplements from a Maine firm that also lured customers with a free trial pitch.
You may also be interested in...
Health Market News: Acetaminophen Prop 65 Report Posted; Loperamide Brands' Smaller Packaging
Brand-name loperamide OTCs will be packaged in single doses with no more than 48 mg per container; and California posts acetaminophen hazard identification for Prop 65 consideration.
Wellness Market News: Herbal Product Sales Jump; FTC Expects $6M From 'Free Trial' Supplement Marketers
US herbal supplement sales' growth in 2018 was strongest since 1998, says American Botanical Council's Herb Market Report; and principals of Apex Capital Group and 12 businesses they controlled agree to orders settling FTC's allegations.
FTC's Claimed Authority To Chase Permanent Injunctions, Monetary Relief May Lack Substantiation
The Federal Trade Commission has long held that Section 13(b) of the FTC Act authorizes the agency to seek permanent injunctions against, and monetary relief from, alleged violators of consumer protection provisions. But that understanding is being put to the test, and cracks are beginning to show, attorneys say.