MLMs Are Consistently Leaving Participants Behind
New book explores why MLMs are often associated with harmful outcomes – and what can be done about it.
February 2016: A federal judge granted final approval of the settlement.
August 2015: A federal judge preliminarily approved a $1.35 million settlement of this lawsuit. According to the proposed settlement terms, class members are eligible to receive a $6 refund for each six-pack of Elations purchased. Class members with proof of purchase may receive a maximum of $18 and class members without proof of purchase may receive a maximum of $12. The proposed settlement does not require the company to change its marketing (though, as of August 2015, the company is no longer using the phrase “clinically proven” on the product packaging).
December 2014: Though a federal judge trimmed some of the false advertising class-action claims filed against The Elations Company (finding that the plaintiffs did not have standing to bring claims for injunctive relief), some of the claims will still move forward. The complaint, which was originally filed in 2012, alleges that the company markets its Elations glucosamine/chondroitin supplement beverage as being “clinically proven” to provide joint health benefits when, in reality, the beverage cannot work as advertised and is not clinically proven to do anything. The judge presiding over the case found, among other things, that injunctive relief was inappropriate because the company stopped making the “clinically proven” claims before the plaintiffs brought their lawsuit. The plaintiffs’ claims for monetary relief (i.e., refunds) will move forward. For more information, go to http://classaction.kccllc.net/. (McCrary et al v. The Elations Company, LLC and Does 1-100, Case No. 13-cv-00242, C. D. CA.).
For more information about other class-action lawsuits regarding glucosamine and TINA.org’s coverage of the issue, click here.
New book explores why MLMs are often associated with harmful outcomes – and what can be done about it.
You don’t need to fake your own death to feel love.
Marketing and reality are not in sync.
New study opens the floodgates to class-action litigation.
Agency alleges MLM misled recruits about earnings, pressured distributors to buy products and encouraged fake retail sales.