
DSSRC’s Arbonne Decision Gets It Wrong
Council blesses MLM’s use of unsubstantiated earnings claims.
In March 2015, a state judge preliminarily approved a settlement of a false advertising class-action lawsuit against Truong Giang Corp. The lawsuit alleged that the company made false and misleading weight-loss claims about several of its products, including 3 Ballerina Tea Dieter’s Drink Extra Strength, Two Ladies Dancing with Tree Tea, Double Sailing Ship Tea, and 3 Ballerina Herbal Slim Capsules. According to the settlement terms, the company agreed to make changes to the labeling and packaging for products, including adding a disclaimer and removing certain language (e.g., “special formula Dieter’s Drink is . . . for those desiring to adjust weight,” “100% guaranteed herbal drink to help you lose weight without dieting,” and “Safe to drink whole year round”). The settlement does not provide the class members with any monetary relief (i.e., refunds). The Final Approval Hearing is scheduled for August 6, 2015. (Perry v. Truong Giang Corp., Case No. BC539568, Superior Court of California, County of Los Angeles)
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Council blesses MLM’s use of unsubstantiated earnings claims.
TINA.org hammers out the fine print details of this advertised member perk.
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