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Thompson Burton

Rodan + Fields’ Insurer Balks at Lawsuit Coverage
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Rodan + Fields’ Insurer Balks at Lawsuit Coverage

Class actions prompted by lash product spur additional legal headache for cosmetics direct seller

Rodan + Fields’ insurance carrier has filed a complaint against the skincare brand just as the direct seller navigates class actions related to one of its products. Ironshore Specialty Insurance Co., a Liberty Mutual subsidiary, filed the complaint in a California federal court and maintains that it should be exempt from paying Rodan + Fields’ legal defense or any claims arising from the class action cases currently being deliberated in state and federal courts.

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August 1, 2021 0 comment
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Misleading and False Product Claims Remain Priority Issue
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Misleading and False Product Claims Remain Priority Issue

FTC’s unwavering stance on claims forces continued policing from companies

By  David Rauf

“The income claims or product claims are going to be the nail that sticks up that gets the FTC’s attention.” 

—Alissa Neufeld, chief compliance officer, Nature’s Sunshine Products

 

“If you’re putting in a perfect product description and it’s all kosher, and the hashtag says #preventheartattack, to me that’s still a claim.”

—Alissa Neufeld, chief compliance officer, Nature’s Sunshine Products

Is it realistic to expect direct selling companies to capture and/or prevent all instances of false claims expressed or shared by distributors? At a recent industry conference, a representative from a compliance monitoring supplier in a crowd of about 100 direct selling lawyers and executives didn’t think so.

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April 1, 2020 0 comment
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