FTC Staff Urge MLMs Not to Rely on Industry Income Disclosure Guidance
Advisory opinion letter raises “serious concerns” with self-reg group’s guidance.
Similasan Corporation’s Homeopathic Products
August 2017: A federal judge granted final approval of the settlement agreement.
April 2017: A federal judge preliminarily approved a settlement of a false advertising lawsuit against Similasan Corporation. The complaint, which was originally filed in 2012, alleges that the company’s homeopathic products – including Stress & Tension Relief, Sleeplessness Relief, and Sinus Relief – are deceptively labeled because they do not work as advertised. According to the settlement terms, class members with proof of purchase may receive a refund (estimated to be at least $3.50) for each product purchased, while class members without proof of purchase are limited to one refund. In addition, the company agreed to make changes to product labels, including providing more information to future purchasers. (Allen et al v. Similasan Corp., Case No. 12-cv-376, S. D. CA.)
For more information about the marketing of homeopathic products and TINA.org’s coverage of the issue, click here.
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