{"id":949,"date":"2017-09-15T11:41:25","date_gmt":"2017-09-15T10:41:25","guid":{"rendered":"https:\/\/www.groupactionlawyers.co.uk\/blog\/?p=949"},"modified":"2017-09-15T11:42:41","modified_gmt":"2017-09-15T10:42:41","slug":"5-hour-energy-drink-makers-fined-4-3-million-dollars-for-false-advertising","status":"publish","type":"post","link":"https:\/\/www.groupactionlawyers.co.uk\/blog\/5-hour-energy-drink-makers-fined-4-3-million-dollars-for-false-advertising","title":{"rendered":"5-hour ENERGY drink makers fined $4.3 million (\u00a33.2 million) for “false” advertising"},"content":{"rendered":"

A popular energy drink company has been fined around £3.2 million after they were found to have produced “false” advertising.<\/p>\n

Living Essentials LLC, a company who manufactures a drink product called “5-hour ENERGY”, marketed themselves as the world’s number one selling energy shot where it provides the “bright, alert feeling you need to get through your day without making you feel wired up”.<\/p>\n

Their website states that it’s still number one in the U.S. “by a wide margin – because it works”.
\n
\nLawsuits<\/u><\/p>\n

Attorney Generals in Washington, Oregon and Vermont first sued the energy shot company in July 2014 after it was alleged they used “deceptive” and “misleading” advertising. All three states sought a permanent injunction against the company to: prevent any further sale of the “5-hour ENERGY” shot; levy civil penalties; and allow compensation for consumers.<\/p>\n

Oregon’s Attorney General, Ellen Rosenblum, stated: <\/p>\n

“…plainly and simply, in Oregon you cannot promote a product as being effective if you don’t have sufficient evidence to back up your advertising claims.”<\/em><\/strong><\/p><\/blockquote>\n

According to Oregon’s Attorney General, the makers of the “5-hour ENERGY” shot stated that the drink contained a unique combination of ingredients to boost energy, when in actual fact the only effective ingredient was a concentrated dose of caffeine, Reuters reports.<\/p>\n

The lawsuits brought by the three states were as a result of a 33 state-investigation back in 2012. The purpose of the investigation was to look at whether there were any truths in the company’s representations.<\/p>\n

Lawsuits upheld<\/h3>\n

The court largely swayed in favour of the states, concluding that the company didn’t provide enough evidence to support its marketing claims that the “combination of caffeine, B vitamins and amino acids would provide energy that would last longer than consumers would experience from a cup of premium coffee (and in some of the ads, longer than 3 or 4 cups of coffee)”.<\/p>\n

In her judgement in the King County Superior Court, Judge Andrus wrote: <\/p>\n

“…the studies do not clearly establish that 5-Hour Energy’s vitamins and nutrients work synergistically with caffeine to make these benefits last longer than they would last with caffeine alone.”<\/em><\/strong><\/p><\/blockquote>\n

Washington Court<\/h3>\n

Washington State Court found that Living Essentials had “duped” customers into believing the energy shot was a more effective energiser than caffeine.<\/p>\n

One of the main issues here is that, because it’s the world’s number one selling energy shot, many millions of consumers may have bought the 58ml energy shot on the representation that “it worked”, when this was reportedly far from the truth. According to one of the lawsuits, Living Essentials sells around 9 million shots of the drink per day.<\/p>\n

The above is enough to conclude that consumers were “duped” into thinking that the energy shot was more effective than any other caffeine or caffeine-related drinks out there in the market.<\/p>\n

On this basis, I believe that many consumers would’ve bought the drink.<\/p>\n

Penalty<\/h3>\n

On 7th<\/sup> October 2016, the court ordered a payout of $4.3 million (\u00a33.2 million), with half of the fine $2.2 million (\u00a31.7 million) going towards each individual violation of Washington state consumer protection laws.<\/p>\n

However, the judge decided not to compensate each and every consumer on the basis that “the identity of such purchasers is unknown and the amount of each restitution award would be so small that the cost of setting up and administering restitution fund would dwarf any benefit consumers would receive from restitution.”<\/p>\n","protected":false},"excerpt":{"rendered":"

A popular energy drink company has been fined around £3.2 million after they were found to have produced “false” advertising. Living Essentials LLC, a company who manufactures a drink product called “5-hour ENERGY”, marketed themselves as the world’s number one selling energy shot where it provides the “bright, alert feeling you need to get through … Continue reading 5-hour ENERGY drink makers fined $4.3 million (\u00a33.2 million) for “false” advertising<\/span><\/a><\/p>\n","protected":false},"author":2,"featured_media":953,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":true,"jetpack_social_options":{"image_generator_settings":{"template":"highway","default_image_id":0,"font":"","enabled":false},"version":2}},"categories":[1],"tags":[19],"class_list":["post-949","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-latest","tag-lawsuits"],"yoast_head":"\n5-hour ENERGY Drink Makers Fined $4.3 million For "False" Advertising<\/title>\n<meta name=\"description\" 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Drug manufacturers and distributors have now found themselves in hot water as\u2026","rel":"","context":"In "Medical"","block_context":{"text":"Medical","link":"https:\/\/www.groupactionlawyers.co.uk\/blog\/category\/medical"},"img":{"alt_text":"pain relief tablets recall","src":"https:\/\/i0.wp.com\/www.groupactionlawyers.co.uk\/blog\/wp-content\/uploads\/pain-relief-tablets-recall-min.png?fit=725%2C250&ssl=1&resize=350%2C200","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.groupactionlawyers.co.uk\/blog\/wp-content\/uploads\/pain-relief-tablets-recall-min.png?fit=725%2C250&ssl=1&resize=350%2C200 1x, https:\/\/i0.wp.com\/www.groupactionlawyers.co.uk\/blog\/wp-content\/uploads\/pain-relief-tablets-recall-min.png?fit=725%2C250&ssl=1&resize=525%2C300 1.5x, https:\/\/i0.wp.com\/www.groupactionlawyers.co.uk\/blog\/wp-content\/uploads\/pain-relief-tablets-recall-min.png?fit=725%2C250&ssl=1&resize=700%2C400 2x"},"classes":[]},{"id":1156,"url":"https:\/\/www.groupactionlawyers.co.uk\/blog\/takata-files-bankruptcy-under-pressure-numerous-lawsuits","url_meta":{"origin":949,"position":2},"title":"Takata files for bankruptcy as it buckles under pressure of numerous lawsuits","author":"Admin","date":"8th December 2017","format":false,"excerpt":"The motor industry was shaken by revelations of Takata's dangerous airbags that have the potential to explode and shoot shards of metal into the cabin of a car. As one of the world's largest producers of airbags, its inflatable devices are used in vehicles made by Honda, Mazda, Toyota, Subaru\u2026","rel":"","context":"In "Automotive"","block_context":{"text":"Automotive","link":"https:\/\/www.groupactionlawyers.co.uk\/blog\/category\/automotive"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":679,"url":"https:\/\/www.groupactionlawyers.co.uk\/blog\/johnson-johnson-year-of-lawsuits","url_meta":{"origin":949,"position":3},"title":"Johnson & Johnson’s year of lawsuits","author":"Admin","date":"26th May 2017","format":false,"excerpt":"The worldwide company Johnson & Johnson has been on the end of some monumental compensation claims and group actions across the globe. The year of 2016 was quite the whirlwind year for Johnson & Johnson; they reportedly lost 6 out of 7 jury verdicts in the U.S. as a result\u2026","rel":"","context":"In "Cosmetics"","block_context":{"text":"Cosmetics","link":"https:\/\/www.groupactionlawyers.co.uk\/blog\/category\/cosmetics"},"img":{"alt_text":"talcum powder ovarian cancer link","src":"https:\/\/i0.wp.com\/www.groupactionlawyers.co.uk\/blog\/wp-content\/uploads\/talcum-powder-ovarian-cancer-link-min.png?fit=725%2C250&ssl=1&resize=350%2C200","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.groupactionlawyers.co.uk\/blog\/wp-content\/uploads\/talcum-powder-ovarian-cancer-link-min.png?fit=725%2C250&ssl=1&resize=350%2C200 1x, https:\/\/i0.wp.com\/www.groupactionlawyers.co.uk\/blog\/wp-content\/uploads\/talcum-powder-ovarian-cancer-link-min.png?fit=725%2C250&ssl=1&resize=525%2C300 1.5x, https:\/\/i0.wp.com\/www.groupactionlawyers.co.uk\/blog\/wp-content\/uploads\/talcum-powder-ovarian-cancer-link-min.png?fit=725%2C250&ssl=1&resize=700%2C400 2x"},"classes":[]},{"id":1183,"url":"https:\/\/www.groupactionlawyers.co.uk\/blog\/boston-scientific-20-million-pelvic-mesh-lawsuit-appeal-dismissed","url_meta":{"origin":949,"position":4},"title":"Court dismisses Boston Scientific’s appeal over \u00a320 million settlement for pelvic mesh lawsuit","author":"Admin","date":"18th December 2017","format":false,"excerpt":"A federal court has dismissed Boston Scientific's appeal against a \u00a320 million settlement sum awarded to four claimants who sued the company for alleged defective pelvic mesh implants. The claimants argued that the Pinnacle mesh used to treat pelvic organ prolapse and female stress urinary incontinence was defective and caused\u2026","rel":"","context":"In "Medical"","block_context":{"text":"Medical","link":"https:\/\/www.groupactionlawyers.co.uk\/blog\/category\/medical"},"img":{"alt_text":"vaginal mesh implant inquiry","src":"https:\/\/i0.wp.com\/www.groupactionlawyers.co.uk\/blog\/wp-content\/uploads\/vaginal-mesh-implant-inquiry-min.png?fit=725%2C250&ssl=1&resize=350%2C200","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.groupactionlawyers.co.uk\/blog\/wp-content\/uploads\/vaginal-mesh-implant-inquiry-min.png?fit=725%2C250&ssl=1&resize=350%2C200 1x, https:\/\/i0.wp.com\/www.groupactionlawyers.co.uk\/blog\/wp-content\/uploads\/vaginal-mesh-implant-inquiry-min.png?fit=725%2C250&ssl=1&resize=525%2C300 1.5x, https:\/\/i0.wp.com\/www.groupactionlawyers.co.uk\/blog\/wp-content\/uploads\/vaginal-mesh-implant-inquiry-min.png?fit=725%2C250&ssl=1&resize=700%2C400 2x"},"classes":[]},{"id":1010,"url":"https:\/\/www.groupactionlawyers.co.uk\/blog\/endo-international-put-aside-another-583-million-mesh-lawsuits","url_meta":{"origin":949,"position":5},"title":"Endo International Plc to put aside more than \u00a3580 million to pay off mesh lawsuits","author":"Admin","date":"11th October 2017","format":false,"excerpt":"Global pharmaceutical company Endo International Plc are reportedly putting aside another \u00a3583 million to settle the remaining vaginal mesh lawsuits made against them. The staggering but deserved sum is to go towards settling some 22,000 lawsuits internationally, and Endo are to begin paying the amount in instalments at the end\u2026","rel":"","context":"In "Latest"","block_context":{"text":"Latest","link":"https:\/\/www.groupactionlawyers.co.uk\/blog\/category\/latest"},"img":{"alt_text":"vaginal mesh implant inquiry","src":"https:\/\/i0.wp.com\/www.groupactionlawyers.co.uk\/blog\/wp-content\/uploads\/vaginal-mesh-implant-inquiry-min.png?fit=725%2C250&ssl=1&resize=350%2C200","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.groupactionlawyers.co.uk\/blog\/wp-content\/uploads\/vaginal-mesh-implant-inquiry-min.png?fit=725%2C250&ssl=1&resize=350%2C200 1x, https:\/\/i0.wp.com\/www.groupactionlawyers.co.uk\/blog\/wp-content\/uploads\/vaginal-mesh-implant-inquiry-min.png?fit=725%2C250&ssl=1&resize=525%2C300 1.5x, https:\/\/i0.wp.com\/www.groupactionlawyers.co.uk\/blog\/wp-content\/uploads\/vaginal-mesh-implant-inquiry-min.png?fit=725%2C250&ssl=1&resize=700%2C400 2x"},"classes":[]}],"jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/www.groupactionlawyers.co.uk\/blog\/wp-json\/wp\/v2\/posts\/949","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.groupactionlawyers.co.uk\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.groupactionlawyers.co.uk\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.groupactionlawyers.co.uk\/blog\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.groupactionlawyers.co.uk\/blog\/wp-json\/wp\/v2\/comments?post=949"}],"version-history":[{"count":3,"href":"https:\/\/www.groupactionlawyers.co.uk\/blog\/wp-json\/wp\/v2\/posts\/949\/revisions"}],"predecessor-version":[{"id":954,"href":"https:\/\/www.groupactionlawyers.co.uk\/blog\/wp-json\/wp\/v2\/posts\/949\/revisions\/954"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.groupactionlawyers.co.uk\/blog\/wp-json\/wp\/v2\/media\/953"}],"wp:attachment":[{"href":"https:\/\/www.groupactionlawyers.co.uk\/blog\/wp-json\/wp\/v2\/media?parent=949"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.groupactionlawyers.co.uk\/blog\/wp-json\/wp\/v2\/categories?post=949"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.groupactionlawyers.co.uk\/blog\/wp-json\/wp\/v2\/tags?post=949"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}