Market Updates

FTC Settles with Companies on Omega 3 Claims

In a continuation of its enforcement action against omega 3 products carrying children's health claims, FTC has reached a settlement with NBTY, Inc. and two of its subsidiaries, NatureSmart LLC and Rexall Sundown, Inc., regarding misleading claims that some of their supplements with docosahexaenoic acid (DHA) may promote healthy brain and eye development in children.

In a continuation of its enforcement action against omega 3 products carrying children’s health claims, FTC has reached a settlement with NBTY, Inc. and two of its subsidiaries, NatureSmart LLC and Rexall Sundown, Inc., regarding misleading claims that some of their supplements with docosahexaenoic acid (DHA) may promote healthy brain and eye development in children. According to the Global Organization for EPA and DHA Omega 3s (GOED), this settlement is significant because it indicates that FTC will continue to be active in this area.

 
“Industry will have an opportunity to interact with the lead attorney from the FTC on this and other omega 3 actions next month at the GOED Exchange, in a panel that also includes a representative of the enforcement arm of FDA,” GOED said.
 
“According to the FTC complaint, product packaging and print advertisements implied that the products contained a significant amount of DHA or an amount comparable to 100 mg of DHA,” GOED explained. “The complaint alleges that this claim was misleading because, in fact, a daily serving of the products only contained either 0.1 mg or 0.05 mg of DHA, depending on the product. The Commission also charges that the companies in question represented that the DHA provided by a daily serving of the products promoted healthy brain and eye development in children two years of age and older. The FTC alleges that this claim is false or misleading because of a failure to have evidence to substantiate it.”

 
GOED provided additional details regarding the settlement:
• It bars misrepresentation of the amount of any ingredient contained in any product; 
• bars misrepresentation that any ingredient, including DHA, promotes brain or eye health or provides any other health benefit, unless the claim is true and supported by competent and reliable scientific evidence; and
• specifies that any violations could result in civil penalties, and includes payments from the companies of $2.1 million to provide refunds to consumers who purchased the products in question.

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