Diet Formula Marketer Confident of Settlement

Share this content:
Mark Nutritionals, under fire from the Federal Trade Commission and state attorneys general over direct-response radio advertising for its diet supplements, said last week it is negotiating to settle the claims out of court.

The company has reached an agreement with the FTC, which has been investigating it since the fall, and is confident that by working cooperatively it can settle claims and address the concerns of several state attorneys general, said Larry Cochran, CEO of the San Antonio company.

The FTC seeks changes to the company's ad claims and unspecified remuneration for consumers who bought the Body Solutions diet products. A temporary injunction agreed to by Mark Nutritionals changed the product name from "Body Solutions Evening Weight Loss Formula" and restricted how the company uses third-party endorsements.

According to the FTC, Mark Nutritionals advertised the Body Solutions product on 650 radio stations in 110 U.S. cities. The company used radio disc jockeys to give testimonials that the product let consumers lose weight while they sleep -- even if they consume a high-calorie diet -- with no diet or exercise, a claim that cannot be substantiated by science, the FTC said.

Mark Nutritionals, which filed for Chapter 11 bankruptcy protection in September, said it has made progress toward reorganization. The company said it had hired a new management team to present a reorganization plan to creditors by year's end.


Next Article in Marketing Strategy

Sign up to our newsletters

Company of the Week

Since 1985, Melissa has helped thousands of companies clean, correct and complete contact data to better target and communicate with their customers. We offer a full spectrum of data quality solutions, including global address, phone, email, and name validation, identify verification - available for batch or real-time processes, in the Cloud or on-premise. Our service bureau provides dedupe, email/phone append and geographic/demographic append services for better targeting and insight. For direct mailers, Melissa offers easy-to-use address management/postal software, list hygiene services and 100s of specialty mailing lists - all with competitive pricing and excellent customer service.

Find out more here »

Career Center

Check out hundreds of exciting professional opportunities available on DMN's Career Center.  
Explore careers in digital marketing, sales, eCommerce, marketing communications, IT, data strategies, and much more. And don't forget to update your resume so employers can contact you privately about job opportunities.

>>Click Here

Relive the 2017 Marketing Hall of Femme

Click the image above