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IN RE TECHNOBRANDS INC Click to find out why . . .



Keywords & Phrases
CaseNo: IRTI108589, CourtCode: FED, CourtName: FEDERAL TRADE COMMISSION, State: VA Virginia, UniqueCaseRef: LCD>IRTI108589, Respondents, Representation, Federal Trade Commission, Draft Complaint, Advertisements, Substantiates, Proposed Respondents, Respondent Tbi, Representations Set, Respondent Anton, Agreement, Pain, Trade Commission Act, Sale, Consumers, Paragraph, Reliable Scientific Evidence, Officer, Implication, Proposed Order, Diet, Tbi, Representations, Manner, Competent, Advertising, Weight, Air, Distribution, Affecting Commerce, Hair, Bmi Magnetic Kit, Promotion, Hollywood Diet, Labeling, Offering , ContentID: 120249937

Case Documents
1   EXHIBITS 1-6
[ see first page and extracted highlights below  ] ItemID: 123616
10 pages
PDF
2   ATTACHMENT A
[ see first page and extracted highlights below  ] ItemID: 123614
3 pages
PDF
3   ANALYSIS
[ see first page and extracted highlights below  ] ItemID: 123613
3 pages
PDF
4   AGREEMENT
[ see first page and extracted highlights below  ] ItemID: 123612
10 pages
PDF
5 1987-05-05 COMPLAINT
[ see first page and extracted highlights below  ] ItemID: 123615
10 pages
PDF
Total Documents: 5 documents , 36 pages
Price: $ 39.95


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1 . EXHIBITS 1-6

EXTRACTED KEY WORDS
HAIR
PAIN
RELIEF
THERAPY
BELTS
AIR
POLLUTION
TECHNOLOGY
INDOOR
ODORS
NISIM
CHEMICALS
RISK-FREE HOME
EXTRACT
AIR PURIFICATION
BREATHE INDOORS
PRODUCTION
SATISFACTORY
CIRCULATION
SETTINGS
SILA
CLOTHE
JUICES
LOST
GAIN
DRUGS
TREATMENT
MAGNETIC FIELD
FLOW
    ?he HoUywood "h4iraclg" dietfeatuks  delicious, a&natural
   juices that help you  bse wei@t tihik  you cleake, detoxify
   and rejfmekte  your  body.
   byprtrJ-
   H
*_ `&.oft8nhaveyouwastedp~
                                                            all-natura&  cit.rus-&vored
                  time  and  money  trying  to  lost       juice  suplilies  your  body
                  ,wdEht?  Let%  see-rve  tried  even      with  vitamins,  minerals,
   @ick-fix,  Gd  diet  known  to  man.`..evd              antio~~;~tlaloik
   trledtheoneswhereyoubuythe'pre?pack~                    -indothercleansingkrlpp
   ageclfmd.Theyallseemtotakemonthstc                      dients  that  detoxify  and
   show  bny  res@s...and  by that  time  ml               rejwenateyombocEg,e
   .motlvadm  io  gone!  Even  straight  fasting           you  ahed  pcunds.  And  it
   didn'tworkforme~ThenImadaboutthe                        supplied  more  ihan  180%  _
.  Hollywood            48-Hour  h4iqacle  Diet  and       of  the  U.S.R.D.A.  of  12
   deddedtotryit-Ihadnothingtolosebui                      essentialvi&inevery$erving.
   weight-and           I did!                             And  lt'a  clinically  proven.  Tested 
   The  skhy.  Jim03  Kabler,  world  fan&                 indqW&ntlab,thismruarkabledietpro       
                                                                                                   
.'      ,:
   for  his  phenomenally  successful  Sii  Day  duced  impressive  results.  A  clinical  trial   
   BloDiet,hasnowlaunchedthefaaterand
   eider  Miracle  Diet.  The  Hollywood  48-                                                      
  ~HourMiraCleDietisaspeclalfomwlation                                                             
 &ding  a/I
   ofall-M~jldcwalId~                                                                              
   calextractssoitlookslikean~
   ordii            bottle  of juice-and                                                           
t,
   works  like  a  miracle!  Pot  two.                                                             
   days  you  8ive  up  all  bad  food                                                             
  h&ifs.  Inplaceoffacaugara
  and  artificial  ingredients                                                                     
  yifdloodyoutbodywith                                                                             
or
  thk  vitamins,  minerals                                                                         
  d-OikfOUlUi
  ln  this  amazing  juice.                                                                        
  Ju8tmixhalfofitwlth.                                                                             
                                                                                                   
  WddSipltthFOUgh~
  out  the  day.  It's  so  easy.                                                                  
  There's  no  tneaouring  or                                                                      
         . .
  combihg  foods, no


  Hollywood's            beat-kept  diet
SNIPPETS:
  • ?he HoUywood "h4iraclg" dietfeatuks delicious, a&natural juices that help you bse wei@t tihik
  • Most of us gain pimdl
  • I hare a'spot in my iewer back that can bod!`s production of
  • Frantic for pain relief.
  • `Magnetic therapy that made me dopey.
  • TREATMENT strategy: pensive and danger-
  • Nothing provided satisfactory relief, stiy enfemlnQ
  • tried "magnetic field This "vsso-ventilatioiY
  • you buy B!Jl Magnets.
  • You alsoget four belts made oi soit.
  • they're rquivation" increases blood flow; aids circulation,
  • Nisim h&enuitional has combined the wis hair is made of proteinI More mgredients edNisimNewHairBiofactom%lmulatlng
  • hair likk I was, you'veslready lost enough.
  • The system CO~H with hairpowth drugs floating thrfnlgh
  • Extract slips between tht
  • mgst #bctive air purification.
  • Travel Air purifier
  • Zyonic technology On the
  • selectable settings.
  • breathe indoors than
  • The Sila Cloth+
  • it removes lint SY and chemicals.
  • andpethairatthesametime.Itsilently It odors, organic odori
  • circulatea air to helP rid the clothe& of r-.
  • ComWs sxchmive risk-free home trisl.
  • If Y Th8 indoor pollution rolution.

  • 2 . ATTACHMENT A

    EXTRACTED KEY WORDS
    SUBSTANTIATES
    BUSINESS POSSESSES
    SALE
    COMPETENT
    RELIABLE SCIENTIFIC EVIDENCE
    AFFECTING COMMERCE
    PAIN
    MANNER
    IMPLICATION
    RELIES
    CONSUMERS
    ADVERTISING
    LABELING
    PROMOTION
    OFFERING
    DISTRIBUTION
    CONNECTION
    WEIGHT
    HAIR
    ENDORSEMENT
    TBI
    CALORIE DIET
    PRODUCT RELIEVES
    AGREEMENT
    ANTON
    LOSS
    EXERCISE
    STRAINS
    CHEMICALS
    
                                                                                                      
    
                                                             ATTACHMENT           A
    
                                                              LEGAL  NOTICE
    
                      As a result  of  an agreement  among  TBI  and Charles  Anton  (collectively  the
           the Federal  Trade  Commission,  you  are  to be informed  of  the following:
    
           l      In  connection  with  the labeling,  advertising,  promotion,  offering  for  sale,
                 of  the Hollywood  4%Hour  Miracle  Diet,  or  any substantially  similar  product  in
                 commerce,  there  shall  be no  representation  made  in  any manner,  expressly  or 
                 that:
                      (1)  Consumers  who  use such  product  can lose  10 Ibs. in  48  hours;  or
    
                      (2)  Many  celebrities,  actors,  actresses, and  models  -  including  some 
                            television  shows E.R.  and  Friends  -  have  lost  substantial  weight 
                 unless  at the time  the representation  is made,  the business  possesses and  relies
                 competent  and reliable  evidence  that substantiates  the representation.  In  the
                 representation  set forth  in  subparagraph  (1)  (regarding  weight  loss),  the 
                 consist  of  competent  and  reliable  scientific  evidence.
    
          l      In  connection  with  the labeling,  advertising,  promotion,  offering  for  sale,
                 the Enforma  System, or  any substantially  similar  product  in  or  affecting 
                 be no  representation  made  in  any manner,  expressly  or  by  implication,  that:
                     (1)  Consumers  who  use  such product  can  lose  substantial  weight  without 
                           restricted  calorie  diet  or  exercise;  or
                     (2)  Consumers  who  use such product  can avoid  weight  gain  without  the need 
                           calorie  diet  or  exercise;
                 unless  at the time  the representation  is made,  the business possesses and  relies 
                 and  reliable  scientific  evidence  that  substantiates  the representation.
    
    l            In  connectftln  with  the labeling,  advertising,  promotion,  offering  for  sale,
                 the BMI  Magnetic  Kit,  or any substantially  similar  product  in  or  affecting 
                 be no  representation  made  in  any manner,  expressly  or  by  implication,  that:
                     (1)  Such product  relieves  severe  pain,  whether  chronic  or occasional, 
                           including  lower  back  pain,  tennis  elbow,  carpal  tunnel  syndrome, 
                           strains, neck  pain,  shoulder  pain,  hip  pain,  muscle  strains,  and 
                     (2)  Such  product  can  relieve  pain  more  effectively  than  traditional 
                           inflammatory  drugs,  massage,  acupuncture,  or  chiropractic  treatment; 
                     (3)  Such product  relieves  pain  through  magnetic  field  therapy,  which 
                           of  veins,  arteries  and  capillaries,  increases  blood  flow,  aids 
                           inflammation,  and  suppresses the body's  production  of  pain-causing 
    
    
    
                  unless at the  time  the representation  is made,  the business possesses and relies 
                  and  reliable  scientific  evidence  that substantiates  the representation.
    
    
    SNIPPETS:
  • l In connection with the labeling, advertising, promotion, offering for sale, sale, or
  • commerce, there shall be no representation made in any manner, expressly or by implication,
  • Consumers who use such product can lose 10 Ibs.
  • competent and reliable evidence that substantiates the representation.
  • representation set forth in subparagraph (regarding weight loss),
  • restricted calorie diet or exercise;
  • calorie diet or exercise;
  • unless at the time the representation is made, the business possesses and relies upon
  • and reliable scientific evidence that substantiates the representation.
  • the BMI Magnetic Kit, or any substantially similar product in or affecting commerce, there
  • Such product relieves severe pain, whether chronic or occasional, anywhere in the body,
  • strains, neck pain, shoulder pain, hip pain, muscle strains, and knee pain;
  • the Nisim New Hair Biofactors System, or any substantially similar product in or affecting
  • Air Purifier eliminates mold, mildew, bacteria, chemicals, and pollutants from a user's
  • Any user testimonial or endorsement of de product reflects the actual and current
  • MONETARY OR OTHER PENALTIES FOR TBI OR MR. ANTON.
  • ANY QUESTION YOU MAY HAVE REGARDING YOUR CONDUCT AND THIS AGREEMENT SHOULD BE

  • 3 . ANALYSIS

    EXTRACTED KEY WORDS
    REPRESENTATIONS
    SUBSTANTIATES
    RESPONDENTS
    SCIENTIFIC EVIDENCE
    RESPONDENTS POSSESS COMPETENT
    RELIABLE SCIENTIFIC EVIDENCE
    COMMISSION
    CONSUMERS
    DIET
    HAIR
    AGREEMENT
    SALE
    BMI MAGNETIC KIT
    WEIGHT
    LOSS
    PAIN
    EMPLOYMENT
    FEDERAL TRADE COMMISSION
    PROPOSED CONSENT ORDER
    ADVERTISING
    DISTRIBUTION
    HOLLYWOOD DIET
    ENFORMA
    NISIM
    CLARION
    CEILING FAN
    AIR PURIFIER
    EFFECTIVENESS
    EFFICACY
    
                                                                                         992 3034
                                     Analysis of Proposed Consent Order
                                              to Aid Public Comment
    
            The Federal Trade Commission has accepted, subject to final approval, an agreement to a
    proposed consent order from respondents TechnoBrands, Inc., and Charles J. Anton, individually and
    as president of the corporate respondent.
    
            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
    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 practices related to the advertising, offering for sale, sale, and
    of various products to the public, including the Hollywood 48-Hour Miracle Diet, a liquid diet; the
    Enforma System, a diet product combination consisting primarily of chitosan and pyruvate; the BMI
    Magnetic Kit, a set of magnets with purported analgesic properties; the Nisim New Hair Biofactors
    System, a purported hair-growth product; the Clarion Ionic Filter Ceiling Fan, an air-cleaning
    and the Sila Ionic Air Purifier, another air-cleaning device.  The Commission's complaint charges
    respondents violated the Federal Trade Commission Act, 15 U.S.C. § 41 et seq., by making numerous
    representations that were false and/or for which they lacked a reasonable basis of substantiation. 
    representations concerned:  the weight loss that consumers can achieve with the Hollywood Diet and
    Enforma; the pain relief that can be achieved with the BMI Magnetic Kit; the effectiveness of Nisim
    stopping hair loss and stimulating hair growth; the ability of the air cleaners to eliminate various
    pollutants from indoor space; the health benefits of using the Clarion Fan; the scientific evidence
    efficacy of some of these products; the comparative efficacy of some of these products; and the
    experiences of consumers and celebrities who purportedly have used some of these products.
    
            Part I of the proposed order prohibits a representation that consumers who use the Hollywood
    Diet, or any substantially similar product, can lose 10 lbs. in 48 hours, unless respondents possess
    competent and reliable scientific evidence that substantiates the representation.  In addition,
    prohibits representations that celebrities, such as actors and actresses in popular television
    have lost substantial weight by using the product, unless the respondents possess competent and
    reliable evidence that substantiates the representations.
    
            Part II of the proposed order prohibits representations that by using Enforma, or any
    substantially similar product, consumers can achieve substantial weight loss, or avoid weight gain,
    without a restricted calorie diet or exercise, unless respondents possess competent and reliable
    scientific evidence that substantiates the representations.
    
            Part III of the proposed order prohibits representations that use of the BMI Magnetic Kit,
    any substantially similar product, relieves severe pain; relieves pain more effectively than other
    
    
    
    treatment; and relieves pain by enlarging blood vessels, increasing blood flow, reducing
    suppressing the body's production of pain-causing chemicals, unless respondents possess competent
    and reliable scientific evidence that substantiates the representations.
    
    SNIPPETS:
  • The proposed consent order has been placed on the public record for thirty days for reception
  • the Commission will again review the agreement and the comments received and will decide
  • This matter concerns practices related to the advertising, offering for sale, sale, and evice; and the Sila Ionic Air Purifier, another air-cleaning device.
  • The Commission's complaint charges that respondents violated the Federal Trade Commission
  • the weight loss that consumers can achieve with the Hollywood Diet and Enforma; the pain consumers and celebrities who purportedly have used some of these products.
  • Part I of the proposed order prohibits a representation that consumers who use the Hollywood
  • In addition, Part I prohibits representations that celebrities, such as actors and actresses
  • Part V of the proposed order prohibits representations that the Clarion Ceiling Fan, or any
  • Part XII of the proposed order requires distribution of the order to current and future
  • Part XIII of the proposed order requires distribution of Attachment A to the order to current
  • Part XV of the proposed order requires that for a period of three years, the individual

  • 4 . AGREEMENT

    EXTRACTED KEY WORDS
    REPRESENTATION
    FEDERAL TRADE COMMISSION
    DRAFT COMPLAINT
    PROPOSED RESPONDENTS
    RESPONDENT TBI
    RESPONDENT ANTON
    AGREEMENT
    OFFICER
    BUSINESS
    SALE
    SUBSTANTIATES
    MANNER
    RELIABLE SCIENTIFIC EVIDENCE
    ADVERTISING
    CONSUMERS
    COMPETENT
    DISTRIBUTION
    CONSENT ORDER
    PRINCIPAL OFFICE
    SHAREHOLDER
    AFFECTING COMMERCE
    PROMOTION
    CONNECTION
    LABELING
    OFFERING
    IMPLICATION
    RESPONDENTS POSSESS
    PRACTICES
    VIRGINIA CORPORATION
    
                                      UNITED STATES OF AMERICA
                                    FEDERAL TRADE COMMISSION
    
    
    
    
    
     In the Matter of
                                                                   FILE NO. 992 3034
    
     TECHNOBRANDS, INC.,                                           AGREEMENT CONTAINING
             a corporation, and                                    CONSENT ORDER
    
     CHARLES J. ANTON,
             individually and as an officer
             of TechnoBrands, Inc.
    
    
    
    
            The Federal Trade Commission has conducted an investigation of certain acts and practices of
    TechnoBrands, Inc. ("TBI"), and Charles J. Anton, individually and as an officer of TBI ("proposed
    respondents").  Proposed respondents, having been represented by counsel, are willing to enter into
    agreement containing a consent order resolving the allegations contained in the attached draft
    Therefore,
    
            IT IS HEREBY AGREED by and between TBI, by its duly authorized officers, and Anton,
    individually and as an officer of TBI, and counsel for the Federal Trade Commission that:
    
    1.a.    Proposed respondent TBI is a Virginia corporation with its principal office or place of
    at 1998 Ruffin Mill Road, Colonial Heights, Virginia 23834.
    
    1.b.    Proposed respondent Anton is a shareholder and president of TBI.  His principal office or
    place of business is the same as that of TBI.
    
    
    
    
                                                     Page 1 of  12
    
    
    
    2.      Proposed respondents admit all the jurisdictional facts set forth in the draft complaint.
    
    3.      Proposed respondents waive:
    
            a.       Any further procedural steps;
    
            b.       The requirement that the Commission's decision contain a statement of findings of
    
    SNIPPETS:
  • The Federal Trade Commission has conducted an investigation of certain acts and practices of
  • Proposed respondents, having been represented by counsel, are willing to enter into an
  • Proposed respondent TBI is a Virginia corporation with its principal office or place of
  • Proposed respondent Anton is a shareholder and president of TBI.
  • When so entered, the order shall have the same force and effect and may be altered, modified,
  • No agreement, understanding, representation, or interpretation not contained in the order or
  • IT IS ORDERED that respondents, directly or through any corporation, subsidiary, division, or
  • unless at the time the representation is made, respondents possess and rely upon competent
  • In the case of the representation set forth in subparagraph A the substantiation must consist
  • Consumers who use such product can lose substantial weight without the need for a

  • 5 . COMPLAINT

    EXTRACTED KEY WORDS
    ADVERTISEMENTS
    REPRESENTATIONS SET
    TRADE COMMISSION ACT
    PARAGRAPH
    FEDERAL TRADE COMMISSION
    TBI
    DIET
    PAIN
    AIR
    IMPLICATION
    DISSEMINATED ADVERTISEMENTS
    HOLLYWOOD DIET
    BMI MAGNETIC KIT
    WEIGHT
    REASONABLE BASIS
    TECHNOBRANDS
    BUSINESS
    HAIR LOSS
    CONSUMERS
    CLARION FAN
    ENDORSER
    MISLEADING
    EXERCISE
    BODY WEIGHT
    ORDINARY EXPERIENCE
    MAGNETIC FIELD THERAPY
    VIRGINIA CORPORATION
    INTERNATIONAL COLLECTORS
    FORMULATES
    
                                                                                  992-3034
    
    
    
    
                                       UNITED STATES OF AMERICA
                                      FEDERAL TRADE COMMISSION
    
    
    
    
    
     In the Matter of
    
     TECHNOBRANDS, INC.,                                            DOCKET NO.
              a corporation, and
    
    
     CHARLES J. ANTON,
              individually and as an officer
              of TechnoBrands, Inc.
    
    
    
    
                                                      COMPLAINT
    
    The Federal Trade Commission, having reason to believe that TechnoBrands, Inc. ("TBI"), and
    Charles J. Anton ("Anton"), individually and as an officer of TBI ("respondents"), have 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 TBI is a Virginia corporation with its principal place of business at 1998
    Road, Colonial Heights, Virginia 23834.  TBI was incorporated on May 5, 1987 under the name of
    Comtrad Industries, Inc.  On May 24, 2000, the company changed its corporate name to
    TechnoBrands, Inc.  TBI advertises and does business as The Lifestyle Resource, TechnoScout,
    Ennoventions, Tech Update, and International Collectors' Society.
    
    
    
    
                                                      Page 1 of  10
    
    
    
    2.      Respondent Anton is an officer of TBI.  Individually or in concert with others, he
    directs, or controls the policies, acts, or practices of TBI, including the acts or practices
    complaint.  His principal office or place of business is the same as that of TBI.
    
    
    SNIPPETS:
  • individually and as an officer of TechnoBrands,
  • The Federal Trade Commission, having reason to believe that TechnoBrands, Inc., and Charles
  • Respondent TBI is a Virginia corporation with its principal place of business at 1998 Ruffin
  • On May 24, 2000, the company changed its corporate name to TechnoBrands, Inc. TBI advertises
  • Individually or in concert with others, he formulates, directs, or controls the policies,
  • Respondents have advertised, offered for sale, sold, and distributed products to the public, ther air-cleaning device.
  • The Hollywood Diet and Enforma are "foods" and/or "drugs" within the meaning of Sections 12
  • The acts and practices of respondents alleged in this complaint have been in or affecting
  • Respondents have disseminated or have caused to be disseminated advertisements for the
  • Then I read about the Hollywood 48-Hour Miracle Diet and decided to try it ­ I had nothing to
  • lost an average of 4% of their initial body weight and noted `obvious results' at the end of
  • Don't take our word for it [Consumer endorser:] `I lost 10 pounds in 48 hours.
  • Through the means described in Paragraph 5, respondents have represented, expressly or by
  • Scientific evidence does not prove that consumers who use the Hollywood Diet can
  • Therefore, the representations set forth in Paragraph 6 were, and are, false or misleading.
  • Through the means described in Paragraph 5, respondents have represented, expressly or by
  • Enforma is the natural system for eliminating fat without crazy diets or strenuous exercise.
  • Respondents have disseminated or have caused to be disseminated advertisements for the BMI
  • Amazing magnets from BMI reduce pain from muscle strain and injury without drugs,
  • and that's why I tried `magnetic field therapy' using BMI Magnets.
  • Testimonials for the BMI Magnetic Kit reflect the typical or ordinary experience of
  • I had enough trouble with hair loss.
  • The world's most effective air purification.
  • Many notes from allergy sufferers tell us what an amazing difference the Clarion fan has made.
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