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1
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DECISION & ORDER
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EXTRACTED KEY WORDS
COMMISSION COMPLAINT FEDERAL TRADE COMMISSION REPRESENTATION ACT SUCCESSORS VIOLATIONS AFFECTING COMMERCE EVIDENCE PRACTICES THEREAFTER AGREEMENT SALE SUBSTANTIATES TERMINATE MANNER APPEALING ADVERTISING PROMOTION MATERIALS CONSUMER PROTECTION RULING LIMITED LIABILITY COMPANY CONSENT JURISDICTION PURPOSES MATTER COMPETENT PROFESSIONALS |
9423278
B236213
UNITED STATES OF AMERICA
BEFORE FEDERAL TRADE COMMISSION
Commissioners:
Robert Pitofsky
Mary L. Azcuenaga
Sheila F. Anthony
Mozelle W. Thompson
Orson Swindle
In the Matter of
TRU-VANTAGE INTERNATIONAL, L.L.C. a limited liability company.
DOCKET NO. C-3798
DECISION AND ORDER
The Federal Trade Commission having initiated an investigation of
certain acts and practices of the respondent named in the caption
hereof, and the respondent having been furnished thereafter with a
copy of a draft of complaint which the Chicago Regional Office
proposed to present to the Commission for its consideration and which,
if issued by the Commission, would charge respondent with violations
of the Federal Trade Commission Act; and
The respondent, its attorney, and counsel for the Commission having
thereafter executed an agreement containing a consent order, an
admission by the respondent of all the jurisdictional facts set forth
in the aforesaid draft of complaint, a statement that the signing of
said agreement is for settlement purposes only and does not constitute
an admission by respondent that the law has been violated as alleged
in such complaint, and waivers and other provisions as required by the
Commission's Rules; and
The Commission having thereafter considered the matter and having
determined that it had reason to believe that the respondent has
violated the said Act, and that complaint should issue stating its
charges in that respect, and having thereupon accepted the executed
consent agreement and placed such agreement on the public record for a
period of sixty (60) days, and no comments having been filed
thereafter by interested parties pursuant to §2.34 of its Rules, the
Commission hereby issues its complaint, makes the following
jurisdictional findings and enters the following order:
1. Respondent Tru-Vantage International, L.L.C., is an Illinois
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2
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CONSENT AGREEMENT
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EXTRACTED KEY WORDS
COMMISSION REPRESENTATION COMPLAINT FEDERAL TRADE ADVERTISEMENT DISCLOSURE PROPOSED RESPONDENT SALE AGREEMENT CONSUMER MANNER PROMOTION DRUG AFFECTING COMMERCE LABELING RELIABLE SCIENTIFIC EVIDENCE CONNECTION SLEEP APNEA ENDORSEMENT ACT DRAFT COMPLAINT ACCEPTANCE DIRECTORS OFFERING DISTRIBUTION SNORING SUCCESSORS FOOD MANUFACTURING |
UNITED STATES OF AMERICA
BEFORE FEDERAL TRADE COMMISSION
In the Matter of
TRU-VANTAGE INTERNATIONAL, LLC, a limited liability company
FILE NO. 002-3210
AGREEMENT CONTAINING CONSENT ORDER
The Federal Trade Commission has conducted an investigation of certain
acts and practices of Tru-Vantage International, L.L.C. ("proposed
respondent"). Proposed respondent, having been represented by counsel,
is willing to enter into an agreement containing a consent order
resolving the allegations contained in the attached draft complaint.
Therefore,
IT IS HEREBY AGREED by and between Tru-Vantage International, L.L.C.,
and by its duly authorized officer, and counsel for the Federal Trade
Commission that:
1. Proposed respondent Tru-Vantage International,
International, L.L.C., is an Illinois corporation with its
principal office or place of business at 7300 North Lehigh
Avenue, Niles, Illinois 60714.
2. Proposed respondent admits all the jurisdictional facts set
forth in the draft complaint.
3. Proposed respondent waives:
a. Any further procedural steps;
b. The requirement that the Commission's decision contain
a statement of findings of fact and conclusions of law;
and
c. All rights to seek judicial review or otherwise to
challenge or contest the validity of the order entered
pursuant to this agreement.
4. This agreement shall not become part of the public record of
the proceeding unless and until it is accepted by the
Commission. If this agreement is accepted by the Commission,
it, together with the draft complaint, will be placed on the
public record for a period of thirty (30) days and information
about it publicly released. The Commission thereafter may
either withdraw its acceptance of this agreement and so notify
proposed respondent, in which event it will take such action as
it may consider appropriate, or issue and serve its complaint
(in such form as the circumstances may require) and decision in
disposition of the proceeding.
5. This agreement is for settlement purposes only and does not
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3
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COMPLAINT
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EXTRACTED KEY WORDS
SNORENZ SPRAY RESPONDENT THROAT SLEEP OILS FEDERAL TRADE COMMISSION LIMITED LIABILITY COMPANY JON DENNY TRADE COMMISSION ACT ADVERTISEMENTS KEVIN TRUDEAU SNORER VITAMINS LEONARD JOHN ZIGLAR REPRESENTATIONS NORTH LEHIGH AVENUE VIBRATING TISSUES DOUBLE-BLIND STUDIES SLEEPING TINA HINES SURGERY PAUL KRAVITZ UNITED STATES ILLINOIS LIMITED LIABILITY LUBRICATING TRACE INGREDIENTS |
UNITED STATES OF AMERICA
BEFORE FEDERAL TRADE COMMISSION
In the Matter of
TRU-VANTAGE INTERNATIONAL, L.L.C. a limited liability company,
defendant.
DOCKET NO.
COMPLAINT
The Federal Trade Commission, having reason to believe that
Tru-Vantage International, L.L.C., a limited liability company
("respondent"), has violated the provisions of the Federal Trade
Commission Act, and it appearing to the Commission that this
proceeding is in the public interest, alleges:
1. Respondent is an Illinois limited liability company, with its
principal office or place of business at 7300 North Lehigh Avenue,
Niles, Illinois 60714.
2. Respondent advertised, offered for sale, sold, and distributed
products to the public, including but not limited to, SNORenz, a
topical spray that purports to reduce or eliminate snoring or the
sounds associated with snoring by lubricating the vibrating tissues in
the throat with a combination of oils, vitamins, and trace
ingredients. SNORenz is a "food," and/or "drug" within the meaning of
Sections 12 and 15 of the Federal Trade Commission Act.
3. Respondent's advertisements include, but are not limited to,
program-length television commercials ("infomercials") which run for
30 minutes or less and fit within normal television broadcasting time
slots. Respondent's television commercials were and are broadcast on
network, independent and cable television stations throughout the
United States.
4. The acts and practices of respondent alleged in this complaint have
been in or affecting commerce, as "commerce" is defined in Section 4
of the Federal Trade Commission Act.
5. Respondent has disseminated or has caused to be disseminated
advertisements for SNORenz, including but not necessarily limited to
television infomercials that were aired on various broadcast and cable
channels. These advertisements contain the following statements:
INFOMERCIAL: TRU SNORENZ 1 - KT (Exhibit A)
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4
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ANALYSIS
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EXTRACTED KEY WORDS
TVI RESPONDENT SNORENZ SLEEP APNEA CONSENT COMPLAINT PUBLIC RECORD AGREEMENT INFOMERCIALS SUBSTANTIATE REPRESENTATIONS DISCLOSE ALLEGES TESTIMONIALS ENDORSER RELIABLE SCIENTIFIC EVIDENCE DRUG AFFIRMATIVE DISCLOSURE COMMISSION DIETARY SUPPLEMENT EFFICACY REDUCING ELIMINATING SNORING SYMPTOMS ORDINARY EXPERIENCE MATERIAL CONNECTION PHYSICIAN MARKETER POSSESS COMPETENT |
Analysis of Proposed Consent
Order to Aid Public Comment
The Federal Trade Commission has accepted an agreement, subject to
final approval, to a proposed consent order from Tru-Vantage
International, L.L.C. ("TVI" or the "proposed respondent"). TVI is an
infomercial producer. It also purchases media time, disseminates its
infomercials, and fulfills the orders for products featured in the
infomercials.
The proposed consent order has been placed on the public record for
thirty (30) days for reception of comments by interested persons.
Comments received during this period will become part of the public
record. After thirty (30) days, the Commission will again review the
agreement and the comments received and will decide whether it should
withdraw from the agreement and take other appropriate action or make
final the agreement's proposed order.
This matter concerns advertising and promotional practices related to
the sale of Snorenz, a purported anti-snoring product. Snorenz is a
dietary supplement consisting of oils and vitamins that is sprayed on
the back of the throat of persons who snore. The Commission's
complaint charges that TVI failed to have a reasonable basis for
claims, which were contained in infomercials it produced to promote
Snorenz, about the product's efficacy in (1) reducing or eliminating
snoring or the sounds of snoring, (2) reducing or eliminating snoring
or the sounds of snoring for six to eight hours, and (3) treating the
symptoms of sleep apnea. The complaint also alleges that TVI lacked a
reasonable basis to substantiate representations that testimonials
from consumers who used Snorenz represented the typical and ordinary
experience of users of the product. TVI is also charged with making
false claims that clinical proof establishes the efficacy of Snorenz.
Further the complaint alleges that that the proposed respondent failed
to disclose that the product is not intended to treat sleep apnea;
that sleep apnea is a potentially life-threatening disorder
characterized by loud snoring, frequent interruptions of sleep, and
daytime tiredness; and that persons experiencing those symptoms should
seek medical attention. Finally, the complaint alleges that TVI failed
to disclose adequately that a material connection existed between a
physician who appeared in the infomercials to endorse the product and
the product's manufacturer and marketer, Med Gen, Inc. A separate
consent settlement with Med Gen, Inc. (File No. 002-3211) is also
being placed on the public record for comment.
Part I of the consent order requires that TVI possess competent and
reliable scientific evidence to substantiate representations that
Snorenz or any other food, drug, or dietary supplement reduces or
eliminates snoring or the sound of snoring; reduces or eliminates
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5
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EXHIBITS A-E
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EXTRACTED KEY WORDS
SNORENZ JOHN ZIGLAR MATTER VIDEO SLEEP TRU SNORENZE SNORING SNORER TRSL TRANSCRIPT I51 FIRST TIME FEDERAL TRADE COMMISSION TRADE COMMISSION ILL TINA VIDEOTAPE GUARANTEE SUGGESTED RETAIL PRICE JON DENNY PO1 LAUGHTER DEEP SLEEP SQUIRTS MIN-U-SCRIPT MEDICAL BREAKTHROUGH URN-HMM IQ1 INDEX |
*
I
MED GEN INC.
l- KT $49.95 TRSl - HARD
Matter Number 0023211
October 13,1999
Page 2
PI
RADE COMMISSION
El OFFICIAL TRANSCRIPT PROCEEDING
(31
)
141 FEDERAL TRADE COMMISSION
) Matter No. 0023211
[51
[6] MATTER NO. 0023211
erl3.1999
m
[a] TITLE MED GEN INC.
[Ql
[IO] DATE RECORDED: OCTOBER 13,1999
[ill TRANSCRIBED: MAY 12,290O
t was produced from a
[121
For The Record, Inc. on May 8,
[i3] PAGES 1 THROUGH 34
u41
[I51
[IsI TRU SNORENZ 1 - KT $49.95 TRSl - HARD
[I71 VIDEOTAPE
VW
[IQ1
PO1
VII
I24
1231
[241
[251
Page 3
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