« Blogosphere Gets It Wrong Again With Wikipedia | Main | FeedBurners New SiteStatistics Now Live »

January 04, 2007

Four Major Weight-Control Pill Marketers Get Slammed By The FTC

By Li Evans

Trimspa Just as the new year is settling in with a lot of people hoping to loose weight as a new year's resolution, 4 Diet Pill Marketers have reached a multi-million dollar settlement with the Federal Trade Commission (FTC).  The makers of Xenadrine EFX, CortiSlim, TrimSpa, and One-A-Day WeightSmart settled for a combine total of $25 million for Allegations of Deceptive Marketing.  It should be noted that the four companies have not admitted to any wrong doing by settling.  They just felt it was cheaper to settle out of court with the FTC than to keep pursuing the legal battle.

A little over a week ago I wrote about the states' attorney generals taking action against deceptive marketing practices on the internet, now we have another case of deceptive marketing brought by the FTC.  The FTC keeps a keen eye on the weight loss/vitamin/energy supplement market, so if you are selling Hoodia pills through deceptive means, the FTC might be breathing down your neck, next.

Redflag I highlight this industry in my presentation at SES on the Search & Regulated industry panel.  I bring up the vitamin/supplement area and the diet area as separate entities.  Of the two, diet by far gets the harder look at.  The FTC is quite serious about cracking down on diet pill manufacturers' deceptive marketing practice, so much so they have even set up their own "mini" website to help shoppers/dieters be able to pinpoint just what is a false or deceptive claim.  The website is aptly named "Red Flag".

Ftc There was no mention in the article of any of the marketing (internet or otherwise) companies nor webmasters involved with these products being fined in with this.  Nothing can be assumed from that however, other than the fines were directly to the producers of the pills.  It is possible for the FTC to bring suit against the marketing agencies and webmasters - if they feel the companies knowingly helped to perpetuate the deceptive marketing.

So, if you as a marketer for a client that is selling any type of product that is making claims that might seem a little outrageous, consult legal counsel before proceeding - it just might save you the headache of dealing with the FTC, when they think the claims are outrageous, too.

TrackBack

TrackBack URL for this entry:
http://www.typepad.com/services/trackback/6a00d8341bfb1a53ef00d83570f61469e2

Listed below are links to weblogs that reference Four Major Weight-Control Pill Marketers Get Slammed By The FTC:

Comments

The comments to this entry are closed.

Get SMG Today - Free!

Get SMG by RSS What Is RSS?
Get Search Marketing Gurus Today via RSS! Add to Google Reader or Homepage
Add to netvibes
Get SMG in Your Bloglines
Get SMG in Your NewsGator Online

Get SMG by E-Mail
Subscribe to SMG via Email
Enter your email address:


Delivered by FeedBurner

SMG Conversations

If You Like SMG Favorite Us on Technorati!
Add to Technorati Favorites
If You Like What SMG Has To Say, Joins Us At These Places!
Subscribe on YouTube to SMG's Videos
follow Li on Twitter
Follow Li on FriendFeed




Copyright 2006, 2007, 2008 SearchMarketingGurus.com