FTC Releases Details on Settlements
WASHINGTONThe Federal Trade Commission (FTC) announced in mid- October a settlement with a Canadianbased fulfillment company the agency charged with making false and unsubstantiated weight-loss claims for two topical productsHydo-Gel Slim Patch and Slenderstrip. Under terms of the settlement, the defendants are barred from promoting these or any other products as effective for weight loss without the need for diet or exercise; the defendants must also pay $72,422 for consumer redress with a $1.4 million avalanche clause.
FTC (www.ftc.gov) filed the complaint against Beauty Visions Worldwide and SlimShop in December 2003, and added an additional five defendants in March 2004. According to FTC, the defendants made claims that the patches would cause rapid, substantial, permanent weight loss for all users without reducing calorie intake or increasing exercise.