Fixing the Subscription Trap
The FTC’s Negative Option Rule do-over – and what’s at stake.
In November 2017, a class-action lawsuit was filed against Biogenesis for allegedly falsely promoting its liquid vitamin B supplements as containing a specific amount of vitamin B12 per serving when, according to the complaint, the supplements do not provide the amount stated on the product labels because the supplements begin to degrade after they are opened resulting in the amount of vitamin B12 in the supplement becoming negligible and ineffective. In addition, plaintiffs claim that the company deceptively markets that some products contain Methylocbalamin (MeCO) – a form of vitamin B12 that is allegedly more appealing to consumers but less stable than other forms of the vitamin – without also telling consumers that they do not get the benefits once the MeCo form of vitamin B12 is degraded to a negligible amount. (Welk et al v. Nutraceutical Corp. d/b/a Biogenesis Nutraceuticals, Inc. d/b/a Nutrabiogenesis d/b/a Biogenesis, Case No. 17-cv-2266, S. D. CA.)
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The FTC’s Negative Option Rule do-over – and what’s at stake.
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