Editor's Note

The Federal Trade Commission (FTC) has issued a proposed consent order banning two companies and their shared officer, Kramer Duhon, from advertising, marketing, promoting, or offering for sale any dietary supplements, as well as from making any form of disease prevention claim in any form of product marketing, among other requirements. The order will, if approved, remain in effect for 20 years barring certain exceptions.
 
FTC had alleged that the companies had violated Sections 5(a) and 12 of the FTC Act by disseminating false and unsubstantiated advertisements claiming that certain of their products could prevent, reduce the risk of, cure, mitigate, or treat cardiovascular disease, atherosclerosis, hypertension or diabetic neuropathy. Health Research Laboratories and Kramer Duhon were party to a previous court order for similar activities, established in 2018. FTC had sought to enforce this earlier court order in federal court, but the order was deemed “facially ambiguous” in a 2020 decision by the United States District Court of Maine. 
March 2022
FTC
Case Summary

The FTC and the State of Maine’s complaint against Health Research Laboratories and its principal, announced in November 2017, alleged that the defendants deceptively marketed two of their health products, BioTherapex and NeuroPlus. In November 2018, the FTC mailed 16,596 checks totaling more than $750,000 to consumers who bought the two deceptively marketed supplements. The FTC and State of Maine subsequently filed a motion seeking a contempt order against the defendants in December 2019, for allegedly violating the final Commission order by continued to market and sell dietary supplements with claims that were not supported by competent and reliable scientific evidence. In November 2020, the FTC staff discontinued its contempt action and filed an administrative complaint against the defendants. The FTC announced a proposed order settling the complaint in March 2020.

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