Fixing the Subscription Trap
The FTC’s Negative Option Rule do-over – and what’s at stake.
August 2017: A federal judge granted final approval of the settlement.
March 2016: A federal judge preliminarily approved a settlement agreement in a false advertising class-action lawsuit against i-Health, Inc. The complaint, which was originally filed in 2012 and amended in 2014, alleges that the company markets BrainStrong dietary supplements with DHA algal oil – including BrainStrong Toddler, BrainStrong Kids, and BrainStrong Adult – as supporting brain health and function when such claims are not true and not supported by adequate scientific evidence.
According to the settlement terms, class members with proof of purchase stating the actual price paid may receive a full refund while class members with proof of purchase that does not state the price paid may receive a refund of the average purchase price. Class members without proof of purchase may only receive a $4 cash award or $6.50 voucher. In addition, the company discontinued the BrainStrong products after the filing of this action and agreed not to sell BrainStrong products unless representations about the health benefits, performance, safety, or efficacy of the products are supported by scientific evidence.
The final fairness hearing is scheduled for May 19, 2017. (Jovel et al v. i-Health, Inc., Case No. 12-cv-5614, E. D. NY.)
For more information about products claiming to support brain health and TINA.org’s coverage of them, click here.
The FTC’s Negative Option Rule do-over – and what’s at stake.
Be wary of questionable and deceptive claims in origin stories.
Mounting lawsuits accuse Meta of breaking privacy promises.
Breaking down the fine print of this March Madness commercial.
Advertised $19.99 price deserves an official review.