Direct Selling Self-Regulatory Council Recommends Lemongrass Discontinue Certain Earnings and Health-Related Product Claims

McLean, VA – May 6, 2024 – The Direct Selling Self-Regulatory Council (DSSRC) of BBB National Programs recommended that Lemongrass Spa Products modify or discontinue certain earnings and health-related product performance claims. 

The advertising claims were made by Lemongrass, a direct selling company that markets personal beauty and skincare products. This inquiry, which included nine earnings claims and six product performance claims, was commenced by DSSRC through its ongoing independent monitoring of advertising and marketing claims in the direct selling industry. 

In this case, DSSRC was concerned that the challenged claims communicated the message that Lemongrass salesforce members can generally expect to earn significant income from the Lemongrass business opportunity and that the Lemongrass products are effective at treating serious health-related conditions. The claims were disseminated on several social media platforms. 

The challenged earnings claims include, but are not limited to:

  • “...gives you flexibility & financial freedom 🤑...” 
  • “WANTED Women Seeking: Financial freedom...”
  • “ My family has been positively impacted by the residual income as well as the products.”
  • “For the 2022-2023 fiscal year, my team of over 2,200 consultants submitted over $800,000 in sales.”

 

The challenged product performance claims include, but are not limited to:

  • “Many uses for Recovery Balm... sciatica pain...” 
  • “Prebiotic facial mist- daily facial mist that helps improve conditions like scars, rosacea, acne, and redness...” 

 

DSSRC appreciated that Lemongrass participated in the self-regulatory process in good faith and worked quickly to remove many of the earnings and health-related claims identified in this inquiry. 

For the posts that remain available to the public, DSSRC recommended that Lemongrass demonstrate that it made a good faith effort to have the posts removed by providing DSSRC copies of its communications contacting the salesforce members that disseminated the claims requesting the claims be removed. If the individuals are active salesforce members and are unresponsive to the requests, DSSRC recommends Lemongrass take appropriate disciplinary action, which could include account termination. 

For former salesforce members, DSSRC recommended that Lemongrass take additional steps to remove the claims such as using the mechanisms available on the social media platforms for trademark or copyright violations. 

All BBB National Programs case decision summaries can be found in the case decision library. For full text of DSSRC decisions, visit the DSSRC Cases and Closures webpage.

 

Subscribe to the Ad Law Insights or Privacy Initiatives newsletters for an exclusive monthly analysis and insider perspectives on the latest trends and case decisions in advertising law and data privacy.

 

 

 

 

Latest Decisions

Decision

National Advertising Division Recommends Dr. Luke Healthcare Discontinue Treatment Claims for its Fungal Nail Renewal Product

New York, NY – July 24, 2024 – The National Advertising Division recommended Dr. Luke Healthcare discontinue certain claims for Dr. Luke’s Fungal Nail Renewal product, including health-related claims, natural claims, and claims that a doctor recommends the product or that it treats a medical condition.

Read the Decision Summary
Decision

National Advertising Division Finds Flag Image on Kendamil Infant Formula Packaging Conveys Supported Message about Products’ Origin

New York, NY – July 17, 2024 – In a Fast-Track SWIFT challenge, the National Advertising Division determined that use of a flag image on product packaging for Kendal Nutricare’s Kendamil infant formula reasonably conveys a supported message about the products’ origin. 

Read the Decision Summary
Decision

In National Advertising Division Case, GuruNanda Voluntarily Discontinues Claims Made through Influencers for Coconut Pulling Oil Products

New York, NY – July 16, 2024 – The National Advertising Division has closed a Fast-Track SWIFT challenge regarding claims that GuruNanda’s coconut pulling oil products can “naturally reverse a cavity” and “reverse cavities.” 

Read the Decision Summary
Decision

National Advertising Division Refers Health-Related Advertising Claims for Prolacta’s Human Milk Fortifier to Regulatory Agencies

New York, NY – July 15, 2024 – The National Advertising Division will refer advertising claims made by Prolacta Bioscience for its Human Milk Fortifier to the Federal Trade Commission (FTC) and Food and Drug Administration (FDA) for review.

Read the Decision Summary