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Fed. Trade Comm'n v. Lane Labs-USA, Inc., 09-3909

By FindLaw Staff | Last updated on

District court's order denying the FTC's motion to hold manufacturing distributors of certain dietary supplements in contempt of a consent judgment vacated

Fed. Trade Comm'n v. Lane Labs-USA, Inc., 09-3909, concerned a challenge to the district court's order denying the Federal Trade Commission's (FTC) motion to hold defendants in contempt for violation of a consent judgments entered by the district court on July 2000 and September 26, 2000, in proceedings arising from the Federal Trade Commission's (FTC) action against defendants manufacturing distributor of specialty dietary supplements and cosmetic products, charging defendants with deceptive acts in violation of section 5 of the Federal Trade Commission Act (Act).

In vacating the order, the court remanded the matter in holding that the district court's conclusion that the defendants complied with "the spirit" of the Final Order was insufficient as the district court was not petitioned for an assessment of the general efficacy of the calcium and the male fertility enhancing supplements.  The court held that the FTC contended that specific marketing claims were violations of two previously entered consent decrees, and here, the district judge did not provide sufficiently detailed findings or sufficient rationale to allow effective appellate review to be performed.

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