NAD Refers Advertising from Green Tea Hawaii to FTC after Company Fails to Respond to NAD Inquiry

New York, NY – Aug. 19, 2013 – The National Advertising Division has referred certain advertising claims made by Green Tea Hawaii, LLC, to the Federal Trade Commission for further review, after the company failed to respond to an NAD inquiry.

NAD is an investigative unit of the advertising industry’s system of self-regulation. It is administered by the Council of Better Business Bureaus.

As part of NAD’s initiative with the Council for Responsible Nutrition (“CRN” or “challenger”) designed to expand NAD review of advertising claims for dietary supplements, CRN challenged certain Internet advertising claims made by Green Tea Hawaii for the company’s Raspberry Ketone Drink.

Claims at issue included:

  •  “… the greatest thing about raspberry ketones is that, when combined with green tea, you body’s ability to burn fat increases exponentially!”
  •  “Clinical studies have shown that ingesting the 10:1 extract of Irvingia Gabonesis can lead to a weight loss of an average on 12.3 pounds in 8 weeks … also reduces bad cholesterol levels, sugar levels, while it boosts stamina and increase energy.”
  •  “African Mango acts as a detoxifying agent in the body, almost scrubbing it clean of dirt and grime, like harmful toxins and free radicals.”
  •  Green tea: lowers cholesterol, increases the rate at which your body burns calories, enhances fat oxidation, promotes the burning of fat, helps prevent obesity, acts as an appetite suppressant and increases energy levels.”
  •  “Green tea also causes carbohydrates to be released at a slower, more balanced pace throughout your day, preventing sharp increases in blood-insulin levels.”
  •  “By reducing drops or spikes in blood sugar, you increase energy and regulate mood. This will prevent binging due to sudden hunger spells.”

The challenger, although noting the claims might fall outside the scope of NAD’s review, expressed concern that some of the challenged claims imply that the advertised product may be used to mitigate, treat, cure, or prevent disease.

For example, the challenger pointed out, some claims refer to “reduced chance of adult onset diabetes,” “blood-insulin levels,” and the reduction or lowering of “bad cholesterol levels.”

The advertiser did not respond to NAD’s inquiry. Consequently, NAD has referred the matter to the Federal Trade Commission for possible law enforcement action.

 

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 Oral Essentials Discontinue "Certified Non-Toxic" Claim for its Lumineux Mouthwash

New York, NY – December 30, 2024 – In a Fast-Track SWIFT challenge brought by GuruNanda, the National Advertising Division recommended that Oral Essentials discontinue its claim that Lumineux mouthwash products are “Certified Non-Toxic.” 

Read the Decision Summary
Decision

NARB Recommends T-Mobile Discontinue or Modify Commercial to Better Disclose Conditions of Free iPhone Offer, 20% Savings Claim

New York, NY – December 30, 2024 – A panel of the National Advertising Review Board (NARB) recommended that T-Mobile discontinue or modify its commercial to better disclose the material conditions of its free iPhone 16 Pro offer and its 20% rate plan savings claim compared to AT&T and Verizon. 

Read the Decision Summary
Decision

Direct Selling Self-Regulatory Council Recommends Valentus Discontinue Earnings and Product Performance Claims

McLean, VA – December 23, 2024 – The Direct Selling Self-Regulatory Council (DSSRC) recommended Valentus, a direct selling company that sells nutritional and lifestyle products, discontinue earnings and health-related product performance claims made on social media and on the Valentus website.

Read the Decision Summary
Decision

Direct Selling Self-Regulatory Council Refers Olive Tree Earnings Claims to the FTC and California AG for Possible Enforcement Action

McLean, VA – December 20, 2024 – The Direct Selling Self-Regulatory Council (DSSRC) referred Olive Tree to the Federal Trade Commission (FTC) and California Attorney General's Office for possible enforcement action after Olive Tree failed to respond to a DSSRC inquiry into earnings claims.  

Read the Decision Summary