The defendants’ failure to disclose their connection with the influencers is a deceptive act or practice and false advertisement—a violation of the FTC Act, according to the Commission.
In a statement, FTC Bureau of Consumer Protection Director Andrew Smith said, “Social media is full of people peddling so-called detox teas, promising weight loss. Companies need to back up health claims with credible science and ensure influencers prominently disclose that they’re getting paid to promote a product.”
Aside from filing a complaint against the defendants, FTC staff sent warning letters to the ten influencers who allegedly promote Teami products and failed to follow the Commission’s advertising disclosures guidelines.
The FTC is seeking a court order prohibiting the defendants from making unsupported health claims regarding their products. It is also seeking an order requiring clear and conspicuous disclosures for advertisements involving influencers as well as imposing endorser monitoring requirements.
