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Bayer Corporation Accused of Violating Court Order on Unsubstantiated Health Claims
The U.S. Attorney’s Office for the District of New Jersey has filed a motion to show cause why Bayer Corporation should not be held in civil contempt for violating a court order in the case of United States v. Bayer Corporation, No. 07-0001. The court order, entered in 2007 in the U.S. District Court for the District of New Jersey, prohibits Bayer from making unsubstantiated claims for any dietary supplement it promotes or sells.
The government alleges that Bayer promotes one of its products, Phillips’ Colon Health, using claims about the product’s purported benefits without having evidence to substantiate those claims. The court order prohibits Bayer from making any claim about the performance or efficacy of any dietary supplement, multivitamin or weight-control product unless, at the time Bayer makes the claim, the company possesses ‘competent and reliable scientific evidence’ to support the claim.
Bayer is accused of making unsubstantiated claims about Phillips’ Colon Health, including that it can ‘defend against’ occasional constipation, diarrhea, and gas and bloating. The company is also alleged to have impliedly claimed that Phillips’ Colon Health prevents, treats and cures constipation, diarrhea, and gas and bloating, even though Bayer lacks competent and reliable scientific evidence for those claims.
‘Bayer is required to abide by a longstanding court order to back up claims it makes about the products it sells,’ said Assistant Attorney General Stuart F. Delery for the department’s Civil Division. ‘The Department of Justice will not tolerate companies that seek to gain an unfair advantage over their competitors by promoting to consumers unsubstantiated claims about the health benefits of their products.’
The motion alleges that Bayer’s multimillion dollar nationwide marketing campaign for Phillips’ Colon Health includes print advertisements and television commercials featuring ‘The Colon Lady,’ in addition to claims on the product’s packaging. The motion further alleges that consumers have paid hundreds of millions of dollars for Phillips’ Colon Health, even though Bayer lacks the evidence to support the claims of the purported benefits of this product.
The Consumer Protection Branch of the Civil Division and the U.S. Attorney’s Office for the District of New Jersey filed the motion for contempt with the assistance of the Federal Trade Commission (FTC). The matter is filed as United States v. Bayer Corporation, No. 07-0001, in the District of New Jersey.
Bayer agreed to pay a $3.2 million civil penalty in 2007 to resolve allegations that it marketed its One-A-Day WeightSmart multivitamin and dietary supplement with unsubstantiated claims. The company agreed not to make unsubstantiated representations regarding the benefits, performance, efficacy, safety or side effects of any dietary supplement, multivitamin or weight-control product.
Assistant Attorney General Delery commended the efforts of the FTC to investigate Bayer’s compliance with the 2007 court order and for referring this latest matter for enforcement. This case is being handled by the Civil Division’s Consumer Protection Branch.
The motion contains a set of allegations. If this motion is litigated, Bayer Corporation will face the possibility of being held in civil contempt, which could result in significant fines and penalties.
Bayer Corporation’s History of Unsubstantiated Claims
Bayer Corporation is a global life sciences company with a history of marketing dietary supplements and multivitamins with unsubstantiated claims. In 2007, the company agreed to pay a $3.2 million civil penalty to resolve allegations that it marketed its One-A-Day WeightSmart multivitamin and dietary supplement with unsubstantiated claims.
The company’s history of unsubstantiated claims has led to repeated investigations and enforcement actions by the Federal Trade Commission and the U.S. Attorney’s Office for the District of New Jersey. Bayer Corporation’s actions have resulted in significant financial penalties and damage to its reputation.
The company’s latest marketing campaign for Phillips’ Colon Health has raised concerns that Bayer is once again making unsubstantiated claims about the health benefits of its product. The motion filed by the U.S. Attorney’s Office for the District of New Jersey seeks to hold Bayer in contempt for violating the court order and alleges that the company lacks competent and reliable scientific evidence to support its claims.
Defendant: Bayer Corporation, Crime: Civil Contempt, State: New Jersey, Year: 2023, Sentence: Ongoing litigation, Dollar Amount: None.
Key Facts
- State: New Jersey
- Category: White Collar Crime
- Source: DOJ Press Release â†â€â€
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