Nature's Bounty, Inc., et al., Proposed Consent Agreement With Analysis To Aid Public Comment

FEDERAL TRADE COMMISSION

[File No. 932-3224]

Nature's Bounty, Inc., et al., Proposed Consent Agreement With

Analysis To Aid Public Comment

AGENCY: Federal Trade Commission.

ACTION: Proposed consent agreement.

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SUMMARY: In settlement of alleged violations of federal law prohibiting

unfair acts and practices and unfair methods of competition, this

consent agreement, accepted subject to final Commission approval, would

require, among other things, respondent and two of its wholly-owned

subsidiaries to pay $250,000 in consumer redress, and to have

scientific evidence to back up a variety of specific health-related

advertising and promotional claims for any product they market in the

future.

DATES: Comments must be received on or before July 10, 1995.

ADDRESSES: Comments should be directed to: FTC/Office of the Secretary,

Room 159, 6th St. and Pa. Ave., NW., Washington, DC. 20580.

FOR FURTHER INFORMATION CONTACT:

Dean Graybill, FTC/S-4302, Washington, DC 20580. (202) 326-3284 or

Peter Metrinko, S-4631, Washington, DC 20580. (202) 326-2104.

SUPPLEMENTARY INFORMATION: Pursuant to section 6(f) of the Federal

Trade Commission Act, 38 Stat. 721, 15 U.S.C. 46 and Sec. 2.34 of the

Commission's rules of practice (16 CFR 2.34), notice is hereby given

that the following consent agreement containing a consent order to

cease and desist, having been filed with and accepted, subject to final

approval, by the Commission, has been placed on the public record for a

period of sixty (60) days. Public comment is invited. Such comments or

views will be considered by the Commission and will be available for

inspection and copying at its principal office in accordance with

Sec. 4.9(b)(6)(ii) of the Commission's rules of practice (16 CFR

4.9(b)(6)(ii)).

In the matter of Nature's Bounty, Inc., a corporation, Puritan's

Pride, Inc., a corporation, and Vitamin World, Inc., a corporation.

Agreement Containing Consent Order To Cease and Desist

The Federal Trade Commission having initiated an investigation of

certain acts and practices of Nature's Bounty, Inc., Puritan's Pride,

Inc., and Vitamin World, Inc., and it now appearing that Nature's

Bounty, Inc., Puritan's Pride, Inc., and Vitamin World, Inc.,

hereinafter sometimes referred to as proposed respondents, are willing

to enter into an agreement containing an Order to cease and desist from

the acts and practices being investigated,

It is hereby agreed by and between Nature's Bounty, Inc., Puritan's

Pride, Inc., and Vitamin World, Inc., by their duly authorized officers

and attorneys, and counsel for the Federal Trade Commission, that:

1. Nature's Bounty, Inc., is a corporation organized, existing and

doing business under and by virtue of the laws of the State of

Delaware, with its office and principal place of business located at 90

Orville Dr., Bohemia, NY. Puritan's Pride, Inc., and Vitamin World

Inc., wholly-owned subsidiary corporations of Nature's Bounty, Inc.,

are organized under and by virtue of the laws of the State of Delaware,

with their offices and principal places of business located at 90

Orville Dr., Bohemia, NY.

2. Proposed respondents admit all the jurisdictional facts set

forth in the draft complaint.

3. Proposed respondents waive:

a. Any further procedural steps;

b. The requirement that the Commission's decision contain a

statement of findings of fact and conclusions of law;

c. All rights to seek judicial review or otherwise to challenge or

contest the [[Page 25219]] validity of the Order entered pursuant to

this agreement; and

d. Any claim under the Equal Access to Justice Act.

4. This agreement shall not become part of the public record of the

proceeding unless and until it is accepted by the Commission. If this

agreement is accepted by the Commission it, together with the draft of

complaint contemplated thereby, will be placed on the public record for

a period of sixty (60) days and information in respect thereto publicly

released. The Commission thereafter may either withdraw its acceptance

of this agreement and so notify the proposed respondents, in which

event it will take such action as it may consider appropriate, or issue

and serve its complaint (in such form as the circumstances may require)

and decision, in disposition of the proceeding.

5. This agreement is for settlement purposes only and does not

constitute an admission by proposed respondents that the law has been

violated as alleged in the attached complaint, or that the facts as

alleged in the attached complaint, other than the jurisdictional facts,

are true.

6. This agreement contemplates that, if it is accepted by the

Commission, and if such acceptance is not subsequently withdrawn by the

Commission pursuant to the provisions of Sec. 2.34 of the Commission's

rules, the Commission may, without further notice to proposed

respondents, (1) issue its complaint corresponding in form and

substance with the draft of complaint here attached and its decision

containing the following Order to cease and desist in disposition of

the proceeding and (2) make information public in respect thereto. When

so entered, the Order to cease and desist shall have the same force and

effect and may be altered, modified or set aside in the same manner and

within the same time provided by statute for other orders. Delivery by

the U.S. Postal Service of the complaint and decision containing the

agreed-to Order to proposed respondents' address as stated in this

agreement shall constitute service. Proposed respondents waive any

rights they may have to any other manner of service. The complaint may

be used in construing the terms of the Order, and no agreement,

understanding, representation, or interpretation not contained in the

Order or the agreement may be used to vary or contradict the terms of

the Order.

7. Proposed respondents have read the proposed complaint and Order

contemplated hereby. They understand that once the Order has been

issued, they will be required to file one or more compliance reports

showing that they have fully complied with the Order. proposed

respondents further understand that they may be liable for civil

penalties in the amount provided by law for each violation of the Order

occurring after the Order becomes final.

Order

Definitions

For purposes of this Order, the following definitions shall apply:

1. ``Product'' means any good that is offered for sale, sold or

distributed to the public by respondents, their successors and assigns,

under any brand name of respondents, their successors and assigns, or

under the brand of any third party. ``Product'' also means any product

sold or distributed to the public by third parties under any brand name

of respondents, or under private labeling agreements with respondent,

their successors and assigns.

2. ``Competent and reliable scientific evidence'' shall mean tests,

analyses, research, studies, or other evidence based on the expertise

of professionals in the relevant area that has been conducted and

evaluated in an objective manner by persons qualified to do so, using

procedures generally accepted by others in the profession to yield

accurate and reliable results.

I

It is ordered that respondents Nature's Bounty, Inc., Puritan's

Pride, Inc., and Vitamin World, Inc., their successors and assigns, and

their officers, agents, representatives, and employees, directly or

through any partnership, corporation, subsidiary, division or other

device, in connection with the manufacture, advertising, packaging,

labeling, promotion, offering for sale, sale or distribution of any

product in or affecting commerce, as ``commerce'' is defined in the

Federal Trade Commission Act, do forthwith cease and desist from

misrepresenting, in any manner, directly or by implication, the

existence, contents, validity, results, conclusions, or interpretations

of any test, study, research article, or any other scientific opinion

or data.

II

It is further ordered that respondents, their successors and

assigns, and their officers, agents, representatives, and employees,

directly or through any corporation, subsidiary, division or other

device, in connection with the manufacturing, advertising, labeling,

packaging, offering for sale, sale, or distribution of ``Sleeper's

Diet,'' ``L-Arginine,'' or ``L-Ornithine,'' or any other substantially

similar amino acid product, in or affecting commerce, as ``commerce''

is defined in the Federal Trade Commission Act, do forthwith cease and

desist from representing, directly or by implication, that:

A. Any such product stimulates greater production or release of

human growth hormone in a user than a non-user of such product;

B. Any such product promotes muscular development; or

C. Any such product burns fat or otherwise alters human metabolism

to use up or burn stored fat, or promotes weight loss.

For purposes of this Order paragraph, ``substantially similar amino

acid product'' shall mean any product which is of substantially similar

composition or possesses substantially similar properties to Sleeper's

Diet, L-Arginine or L-Ornithine.

III

It is further ordered that respondents, their successors and

assigns, and their officers, agents, representatives, and employees,

directly or through any corporation, subsidiary, division or other

device, in connection with the manufacturing, advertising, labeling,

packaging, offering for sale, sale, or distribution of L-Cysteine, L-

Methionine, or any other substantially similar hair care product, in or

affecting commerce, as ``commerce'' is defined in the Federal Trade

Commission Act, do forthwith cease and desist from representing,

directly or by implication, that any such product will prevent or

retard hair loss or promote hair growth where hair has already been

lost. For purposes of this Order paragraph, ``substantially similar

hair care product'' shall mean any product that is advertised or

intended for sale over-the-counter to treat, cure or curtail hair loss

or to promote hair growth where hair has already been lost, and which

is of substantially similar composition or possesses substantially

similar properties to L-Cysteine or L-Methionine.

IV

It is further ordered that respondents, their successors and

assigns, and their officers, agents, representatives, and employees,

directly or through any corporation, subsidiary, division or other

device, in connection with the manufacturing, advertising, labeling,

packaging, offering for sale, sale, or distribution of any hair care

product or service, in or affecting commerce, as ``commerce'' is

defined in the Federal [[Page 25220]] Trade Commission Act, do

forthwith cease and desist from:

A. Representing, directly or by implication, that

(1) The use of the product or service will prevent, cure, relieve,

reverse, or reduce hair loss; or

(2) The use of the product or service will promote the growth of

hair where hair already has been lost.

unless, at the time of making such representation, respondents possess

and rely upon competent and reliable scientific evidence that

substantiates the representation.

B. Manufacturing, advertising, labeling, packaging, promoting,

offering for sale, selling, or distributing any product that is

represented as promoting hair growth or preventing hair loss, unless

the product is the subject of an approved new drug application for such

purpose under the Federal Food, Drug, and Cosmetic Act, 21 U.S.C. 301

et seq., provided that, this requirement shall not limit the

requirements of Order paragraphs III or IV.A. herein.

V

It is further ordered that respondents, their successors and

assigns, and their officers, agents, representatives, and employees,

directly or through any corporation, subsidiary, division or other

device, in connection with the manufacturing, advertising, labeling,

packaging, offering for sale, sale, or distribution of any product in

or affecting commerce, as ``commerce'' is defined in the Federal Trade

Commission Act, do forthwith cease and desist from making any

representation, directly or by implication, that any such product:

A. Cures, treats, prevents, or reduces the risk of developing any

disease, disorder or condition in humans or relieves symptoms thereof;

B. Provides any weight loss or weight control benefit or otherwise

provides an effective treatment for obesity;

C. Suppresses appetite, reduces the body's absorption of calories,

stimulates metabolism, or reduces serum cholesterol;

D. Cures, treats, prevents, or reduces the risk of benign prostatic

hypertrophy;

E. Promotes greater muscular development, endurance, strength,

power, definition, or stamina, or shorter exercise recovery or

recuperation time in a user than a non-user of such product;

F. Removes or diminishes dark circles under the eyes;

G. Improves mental clarity, mental concentration, mental

comprehension, mental retention or mental alertness;

H. Aids digestion or promotes increased absorption of nutrients

from ingested foods;

I. Relieves stress or promotes relaxation; or

J. Prevents, relieves or treats fatigue or boosts energy;

unless, at the time of making such representation, respondents possess

and rely upon competent and reliable scientific evidence that

substantiates the representation.

Provided however, that respondents shall not be liable under this

paragraph for any representation contained on a package label or

package insert for a product that meets all of the following

conditions:

1. The product is manufactured and distributed by a third party and

is not manufactured or distributed exclusively for respondents;

2. The product is generally available at competing retail outlets;

3. The product is not identified with respondents and does not

contain respondents' names or logos;

4. The product was not developed or manufactured at the instigation

or with the assistance of respondents; and,

5. The product representation is not otherwise advertised or

promoted by respondents.

Provided further, that the proviso in the preceding paragraph is

currently identical to the ``safe harbor'' proviso contained in

Paragraph V. of the order in General Nutrition, Inc., Docket No. 9175,

entered February 2, 1989. It is the intention of the parties to the

order herein that the provisos shall remain identical. Therefore,

except upon respondents filing a petition to reopen the proceeding

herein and making a satisfactory showing that changed conditions of law

or fact or the public interest warrants modification of the order

herein by the Commission, respondents agree to be bound by any

subsequent modifications (including vacation) of the safe harbor

proviso in Docket No. 9175, without any further formal modification of

the instant order.

VI

It is further ordered that nothing in this Order shall prohibit

respondents, their successors and assigns, and their officers, agents,

representatives, and employees, directly or through any corporation,

subsidiary, division or other device, from making any representation

that is specifically permitted in labeling for any product by

regulations promulgated by the Food and Drug Administration (FDA)

pursuant to the Nutrition Labeling and Education Act of 1990; moreover,

nothing in this Order shall prohibit respondents, their successors and

assigns, and their officers, agents, representatives, and employees,

directly or through any corporation, subsidiary, division or other

device, from making any representation for any drug that is permitted

in labeling for any drug under any tentative final or final standard

promulgated by the Food and Drug Administration, or under any new drug

application approved by the Food and Drug Administration.

VII

It is further ordered that respondents, their successors and

assigns, and their officers, agents, representatives, and employees,

directly or through any corporation, subsidiary, division or other

device, in connection with the manufacturing, advertising, labeling,

packaging, offering for sale, sale, or distribution of any product in

or affecting commerce, as ``commerce'' is defined in the Federal Trade

Commission Act, do forthwith cease and desist from:

1. Using the name ``Sleeper's Diet'' or any other brand name that

represents, directly or by implication, that such product has the

ability to promote weight loss during sleep;

2. Using the name ``Memory Booster'' or any other brand name that

represents, directly or by implication, that such product improves

memory retention;

3. Using the name ``Dark Circle Eye Treatment'' or any other brand

name that represents, directly or by implication, that such product

removes dark circles from under the eyes; or

4. Using the name ``Super Fat Burners'' or any other brand name

that represents, directly or by implication, that such product reduces

body fact

unless, at the time of making such representation, respondents possess

and rely upon competent and reliable scientific evidence that

substantiates the representation.

VIII

It is further ordered that respondents, their successors and

assigns, shall pay to the Federal Trade Commission, by cashier's check

or certified check made payable to the Federal Trade Commission and

delivered to the Associate Director for Enforcement, Bureau of Consumer

Protection, Federal Trade Commission, 6th and Pennsylvania Ave., NW,

Washington, DC 20580, the sum of two hundred and fifty thousand dollars

($250,000). Respondents shall make this payment on or before the tenth

day following the date of issuance of this Order. In the event of any

default on any obligation to make payment under this section,

[[Page 25221]] interest, computed pursuant to 28 U.S.C. 1961(a), shall

accrue from the date of default to the date of payment. The funds paid

by respondents shall, in the discretion of the Federal Trade

Commission, be used to provide direct redress to consumers allegedly

injured by respondents in connection with the acts or practices alleged

in the complaint, and to pay any attendant costs of administration. If

the Federal Trade Commission determines, in its sole discretion, that

redress to consumers is impracticable or unwarranted, any funds not

used for redress shall be paid to the United States Treasury.

Respondents shall be notified as to how the funds are distributed, but

shall have no right to contest the manner of distribution chosen by the

Commission.

IX

It is further ordered that, for five (5) years after the last date

of dissemination of any representation covered by this Order,

respondents, or their successors and assigns, shall maintain and upon

request make available to the Federal Trade Commission for inspection

and copying:

1. All labeling, packaging, advertisements and promotional

materials setting forth any representation covered by this Order;

2. All materials that were relied upon by respondents to

substantiate any representation covered by this Order; and

3. All test reports, studies, surveys, demonstrations or other

evidence in their possession or control that contradict, qualify, or

call into question such representation or the basis upon which

respondents relied for such representation, including complaints from

consumers.

X

It is further ordered that for a period of ten (10) years after

service upon them of this Order, respondents, their successors and

assigns, shall notify the Federal Trade Commission at least thirty (30)

days prior to any proposed change in the respondents such as

dissolution, assignment, or sale resulting in the emergence of a

successor corporation, the creation or dissolution of subsidiaries or

any other change in the corporations that may affect compliance

obligations arising under this Order.

XI

It is further ordered that the respondents shall distribute a copy

of this Order to each of their operating divisions, to each of their

officers, agents, representatives, or employees engaged in the

preparation and placement of advertisements, promotional materials,

product labels or other such sales materials covered by this Order, and

to all distributors of products manufactured or marketed by

respondents.

XII

It is further ordered that respondents shall, within sixty (60)

days after service of this Order, file with the Commission a report, in

writing, setting forth in detail the manner and form in which they have

complied or intend to comply with this Order.

Analysis of Proposed Consent Order To Aid Public Comment

The Federal Trade Commission has accepted an agreement to a

proposed consent order from Nature's Bounty, Inc., Puritan's Pride,

Inc., and Vitamin World, Inc. (``respondents'').

The proposed consent order has been placed on the public record for

sixty (60) days for receipt of public comments by interested persons.

Comments received during this period will become part of the public

record. After sixty (60) days, the Commission will again review the

agreement and the comments received and will decide whether it should

withdraw from the agreement or make final the agreement's proposed

order.

The Commission's complaint alleges that respondents manufactured,

advertised, offered for sale, sold or distributed a variety of

products, for which they made the following representations:

A. Sleeper's Diet promotes weight loss during sleep.

B. L-Arginine stimulates the release of human growth hormone which

increases muscle mass while decreasing body fat.

C. L-Ornithine stimulates the release of human growth hormone which

increases muscle mass while decreasing body fat.

D. Prostex relieves the symptoms of benign prostatic hypertrophy.

E. L-Cysteine (1) increases hair growth, (2) prevents hangovers and

brain and liver damage from alcohol, and (3) helps prevent harm caused

by cigarette smoke.

F. L-Lysine improves stress tolerance and reduces fatigue.

G. L-Methionine prevents premature hair loss.

H. Octacosanol increases stamina, vigor, and endurance, improves

reaction time, lowers cholesterol levels and strengthens muscles.

I. New Zealand Green Lipped Mussel Extract prevents arthritis and

relieves its symptoms.

J. KLB6 causes weight loss and reduces cholesterol levels.

K. Glucomannan causes weight loss by suppressing appetite and

allowing calories to pass through the body undigested.

L. Sugar Blocker prevents weight gain by impeding the body's

absorption of sugar.

M. Spirulina 500 mg. tablets suppress the appetite, enabling

adherence to a diet.

N. KLB6 Grapefruit Diet causes weight loss by stimulating

metabolism and suppressing appetite.

O. Herbal Cellulex Formula causes weight loss by eliminating body

fat.

P. Memory Booster improves memory retention and mental alertness.

Q. Ginsana helps build physical endurance and mental alertness.

R. Fatbuster Diet Tea causes weight loss by eliminating fatty

substances from the body.

S. Shake-A-Weigh reduces the body's absorption of calories from

food.

T. Dark Circle Eye Treatment removes dark circles from under the

eyes.

U. Natural Sterol Complex promotes growth in muscle mass and

improves strength.

V. Super Fat Burners reduces body fat, thereby promoting muscle

definition.

W. Super Cut reduces body fat, thereby promoting muscle definition.

X. Papaya Enzyme Tablets aid digestion and promote greater

absorption of nutrients from food.

Y. Calmtabs relieves stress and promotes relaxation.

The Commission's complaint alleges that the above representations

for Sleeper's Diet, L-Arginine, L-Ornithine, L-Cysteine, and L-

Methionine are false and misleading. Further, the Commission alleges

that respondents did not possess and rely upon a reasonable basis that

substantiated any of the representations in (A) through (Y).

The Commission's complaint also alleges that respondents falsely

and in a misleading manner represented that scientific research,

including scientific papers and/or studies, prove that (1) Octacosanol

may improve reaction time, lower cholesterol levels and strengthen

muscles; (2) New Zealand Green Lipped Mussel Extract prevents arthritis

and relieves its symptoms; (3) as to Eye-Vites, also sold as CATA-RX,

patients undergoing antioxidant therapy such as that provided by Eye-

Vites and CATA-RX are 70% less likely to develop cataracts; and (4)

Ginsana improves [[Page 25222]] physical endurance and mental

alertness.

The complaint also alleges that through the use of trade names,

respondents falsely and misleadingly represented that (1) ``Sleeper's

Diet'' promotes weight loss during sleep; (2) ``Memory Booster''

improves memory retention; (3) ``Dark Circle Eye Treatment'' removes

dark circles from under the eyes; and (4) ``Super Fat Burners'' reduces

body fat.

The consent agreement resolving these allegations requires

respondents to cease and desist from misrepresenting the existence,

contents, validity, results, conclusions, or interpretations of any

test, study, research article, or any other scientific opinion or data.

As to the products ``Sleeper's Diet,'' ``L-Arginine,'' or ``L-

Ornithine,'' or any other substantially similar amino acid product,

respondents are to cease and desist from representing that (1) any such

product stimulates greater production or release of human growth

hormone in a user than a non-user of such product; (2) any such product

promotes muscular development; or (3) any such product burns fat or

otherwise alters human metabolism to use up or burn stored fat, or

promotes weight loss.

In connection with the products L-Cysteine, L-Methionine, or any

other substantially similar hair care product, respondents are to cease

and desist from representing that any such product will prevent or

retard hair loss or promote hair growth where hair has already been

lost. As to any hair care product or service, respondents are to cease

and desist from representing that (1) the use of the product or service

will prevent, cure, relieve, reverse, or reduce hair loss; or (2) the

use of the product or service will promote the growth of hair where

hair already has been lost, unless, at the time of making such

representation, respondents possess and rely upon competent and

reliable scientific evidence that substantiates the representation.

Respondents are also prohibited from manufacturing, advertising,

labeling, packaging, promoting, offering for sale, selling, or

distributing any product that is represented as promoting hair growth

or preventing hair loss, unless the product is the subject of an

approved new drug application for such purpose under the Federal Food,

Drug, and Cosmetic Act.

Respondents also are required to possess and rely upon competent

and reliable scientific evidence as substantiation for any

representation that any product (1) cures, treats, prevents, or reduces

the risk of developing any disease, disorder or condition in humans or

relatives symptoms thereof (2) provides any weight loss or weight

control benefit or otherwise provides an effective treatment of

obesity; (3) suppresses appetite, reduces the body's absorption of

calories, stimulates metabolism, or reduces serum cholesterol; (4)

cures, treats, prevents or reduces the risk of benign prostatic

hypertrophy; (5) promotes greater muscular development, endurance,

strength, power, definition, or stamina, or shorter exercise recovery

or recuperation time in a user than a non-user of such product; (6)

removes or diminishes dark circles under the eyes; (7) improves mental

clarity, mental concentration, mental comprehension, mental retention

or mental alertness; (8) aids digestion or promotes increased

absorption of nutrients from ingested foods; (9) relieves stress or

promotes relaxation; or (10) prevents, relieves or treats fatigue or

boosts energy. However, the agreement states that this substantiation

requirement does not apply if respondents are merely selling another

manufacturer's products, and, inter alia, the product representation is

made only on a product label or insert, and is not otherwise advertised

or promoted by respondents. The consent agreement also notes that this

``safe harbor'' provision is currently identical to the ``safe harbor''

proviso contained in Paragraph V. of the order in General Nutrition,

Inc., Docket No. 9175, that it is the intention of the parties to the

instant order that the provisos shall remain identical, and that

respondents agree to be bound by any subsequent modifications

(including vacation) of the safe harbor proviso in Docket No. 9175,

without any further formal modification of the instant order.

Respondents retain their right to file a petition to modify or vacate

the instant order.

Also under the order, respondents may not use the name ``Sleeper's

Diet'' or any other brand name that represents that such product has

the ability to promote weight loss during sleep; use the name ``Memory

Booster'' or any other brand name that represents that such product

improves memory retention; use the name ``Dark Circle Eye Treatment''

or any other brand name that represents that such product removes dark

circles from under the eyes; or use the name ``Super Fat Burners'' or

any other brand name that represents that such product reduces body

fat, unless, at the time of making such representation, respondents

possess and rely upon competent and reliable scientific evidence that

substantiates the representation.

Under the terms of the order, respondents shall pay $250,000.00 to

the Federal Trade Commission. The funds paid by respondents shall, in

the discretion of the Federal Trade Commission, be used to provide

direct redress to consumers allegedly injured by respondents. If

redress to consumers is impracticable or unwarranted, any funds not

used for redress shall be paid to the United States Treasury.

The purpose of this analysis is to facilitate public comment on the

proposed order, and it is not intended to constitute an official

interpretation of the agreement and proposed order or to modify any of

their terms.

Donald S. Clark,

Secretary.

Statement of Commissioner Mary L. Azcuenaga Concerning Nature's Bounty,

Inc.

File No. 932 3224

I dissent from the Commission's decision to accept a proposed

consent order with Nature's Bounty and its subsidiaries, Puritan's

Pride, Inc., and Vitamin World, Inc., because the order leaves the

respondents free to sell products they know, or should know, are

deceptively labeled.

The proviso in Paragraph V of the consent order states that the

respondents would not necessarily be liable for false or

unsubstantiated claims appearing on the labels or in the packaging of

the products sold at its stores, even it if were clear that the

companies had actual knowledge that those claims were unsubstantiated

or untrue. I believe that the other should hold the respondents liable

if they know, or should know, that the labels or packaging of any such

product contains false or unsubstantiated claims.

[FR Doc. 95-11554 Filed 5-10-95; 8:45 am]

BILLING CODE 6750-01-M