FTC Settles First Probiotics Advertising Case, Nestlé to Stop Touting Health Benefits
The Federal Trade Commission (FTC) has announced a settlement with Nestlé HealthCare Nutrition, Inc., which the agency contends has deceptively marketed a children’s drink, BOOST Kid Essentials®, as a product clinically shown to reduce illness in children by strengthening the immune system and helping them recover more quickly from diarrhea. The beverage, intended for children ages 1 to 13, contains probiotics embedded in a straw that was “prominently featured in ads for the product.”
According to the FTC, the company has agreed to stop making health-related claims about cold or flu viruses “unless the claim is approved by the Food and Drug Administration.” The company has also agreed to cease making claims about diarrhea and reduced absences from day care or school “unless the representation is non-misleading and, at the time of making such representation, the [company] possesses and relies upon competent and reliable scientific evidence that substantiates that the representation is true.”
Nestlé may not, under the agreement, make any other health representations without “reliable scientific evidence,” defined as “tests, analyses, research, studies, or other evidence that have been conducted and evaluated in an objective manner by qualified persons, that are generally accepted in the profession to yield accurate and reliable results.” The agreement will bind the company for the next 20 years. The company did not admit to any wrongdoing and is not required to pay a fine under the settlement. See FTC Press Release, July 14, 2010; The Wall Street Journal, July 15, 2010.