FTC Proposes New Rule Targeting Deceptive Income Claims in MLM Industry
Proposed new earnings claim rule comes three years after TINA.org comment to FTC.
In February 2013, a federal appeals court affirmed the dismissal of a class-action lawsuit filed against Kraft Foods and Hormel Foods in 2011 alleging that the companies misled consumers into believing their lunch meat products contained fewer fat-calories than they actually did. One reason for the dismissal was that plaintiffs’ allegations weren’t strong enough to make out a legal claim. (Brad Kuenzig et al. v. Hormel Foods Corp. et al., Case No. 12-11180, 11th Cir.)
Proposed new earnings claim rule comes three years after TINA.org comment to FTC.
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Class-action lawsuits target preservative-free claims.
This company may need to cleanse its marketing tactics.