The FTC recently announced settlements with three companies and their respective officers regarding advertising for dietary supplements that the FTC alleged lacked adequate substantiation.
The Federal Trade Commission (FTC) recently announced settlements with three companies and their respective officers regarding advertising for dietary supplements that it alleged lacked adequate substantiation.
The FTC reached a settlement with Lunada Biomedical, Inc. (Lunada) where it alleged that Lunada’s advertising for its dietary supplement Amberen represented, either directly or indirectly, that the supplement causes women over 40 years old who are perimenopausal or menopausal to lose substantial amounts of weight and belly fat, and that nearly 93% of users successfully lost weight. In addition, the FTC alleged that Lunada failed to disclose material connections with endorsers and that a “risk free trial” claim was falsely made.
The FTC also reach a settlement with GetAwayGrey, LLC (GetAwayGrey) and Rise-N-Shine, LLC (Rise-N-Shine) where it alleged that both companies made claims that consumers could prevent or reverse gray hair through use of their respective dietary supplements containing the enzyme “catalase,” which the companies claimed attacks hydrogen peroxide, the chemical that causes hair to turn gray. The defendants were permanently enjoined from making any such representation unless the claim is non-misleading and the defendants have competent and reliable scientific evidence to substantiate that such a representation is true. A judgment of $1.8 million was entered against the GetAwayGrey defendants and a judgment of $2 million was entered and suspended against the Rise-N-Shine defendants, which would become due if they were found to have misrepresented their financial condition.
Tip: Advertising claims for dietary supplements must be adequately substantiated by competent and reliable scientific evidence at the time the representation is made.