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FTC and Internet Free Trial Promoter Enter Into Stipulated Preliminary Injunction A website that offered "free trials" of its herbal products, including smoking cessation patches, has agreed to halt its allegedly deceptive practices, pending trial. The FTC sued NextClick Media alleging that the trials weren't free, the patches didn't work as claimed, and the operation was illegally debiting consumers' bank accounts without their authorization. In entering the Stipulated Preliminary Injunction the defendants have agreed to abide by a federal court order that bars them from making deceptive claims, restricts their ability to dissipate assets, requires them to preserve records and other evidence, and account for the money they made from their venture.
Ninth Circuit Reverses Dismissal of Case Against Gerber for Deceptively Marketed Fruit Snacks Parents who purchased Gerber "Fruit Juice Snacks" brought a class action against Gerber alleging that its Fruit Juice Snacks product contained no fruit juice from oranges, peaches, strawberries or cherries as illustrated on the packaging. Instead it contained only grape juice from concentrate. The lawsuit also complained the product contained mostly corn syrup and sugar rather than juice. Claims were brought under California's false advertising and unfair competition statutes, and were governed by a "reasonable consumer" test.
Tyson Told to Withdraw ?Raised Without Antibiotics? Advertisements Competitors Sanderson Farms and Perdue Farms sued Tyson for nationally advertising its chicken as "Raised Without Antibiotics" and "Raised Without Antibiotics that impact antibiotic resistance in humans." A federal court recently issued a preliminary injunction ordering Tyson Foods to withdraw the advertisements at issue, finding that the ads are false and misleading to the consumer and could violate the Lanham Act's false advertising prohibition. |
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