
FTC Files for Injunction as IML Shuts Down
Agency worries MLM defendants are dissipating assets.
In September 2014, an appellate court affirmed a district court’s approval of a $2.5 million settlement of a class-action lawsuit against the manufacturer of Nutella, Ferrero USA. The complaint claimed that the company misleadingly marketed Nutella as a healthy and nutritious food when, in reality, it is not. According to the settlement terms, the company agreed to refund class members $4 for each jar purchased (for a maximum of $20). In addition, the company agreed to remove certain advertising and make changes to other marketing materials (e.g., provide consumers with more information about the product’s sugar and fat content). Click here to read the full appellate court decision. (In Re: Nutella Marketing and Sales Practices Litigation, Case No. 12-3456, 3rd Cir.).
For more information about other class-action lawsuits regarding Nutella and TINA.org’s coverage of the product, click here.
Agency worries MLM defendants are dissipating assets.
Patrick Coffee, The Wall Street Journal
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