FTC Charges Simple Pure with ROSCA and EFTA Violations
In the first action alleging violations of the Restore Online Shoppers’ Confidence Act (ROSCA), the Federal Trade Commission charged related entities and principals, all doing business as Simple Pure Nutrition, of marketed dietary supplements and weight loss products using the Internet, print, radio, and television without basis for the claims made.
ROSCA prohibits marketers from finalizing an online transaction unless the marketer has disclosed all material terms of the transaction and obtained the consumers’ express informed consent. The FTC claims that Simple Pure’s advertising claims regarding weight loss and burning fact were without factual support. Furthermore, Pure Simple is alleged to have violated the Electronic Funds Transfer Act (EFTA) by using negative option programs without consumer authorization.
The suit is pending in the United States District Court for the District of Nevada.
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