Five Diet Firms Charged With Deceptive Ads

The Federal Trade Commission Thursday charged five of the nation’s largest commercial diet programs with deceptive advertising, saying that the plans have made unsubstantiated weight-loss claims and used consumer testimonials without evidence that they represented typical experiences of dieters in their programs.

As a result of the cases, “we believe that some 6 million consumers will get far more realistic information about what they’ll get for the more than $2 billion they spend each year on memberships in weight-loss programs,” said Christian S. White, acting director of the FTC’s bureau of consumer protection.

“The bottom line is that losing weight is hard work--and keeping it off is harder still. . . . Consumers who buy into these programs need to understand that, all too often, promises of long-term weight loss raise false hopes of an easy fix for a difficult problem.”

Such programs have enjoyed enormous success in recent years in a weight-conscious society that places a high value on being slender and as more Americans--increasingly concerned with health and fitness--have sought help in slimming down.

In some cases, the FTC complaint also addressed issues of deceptive pricing, comparative superiority, weight-loss rate or safety-related claims.

Two of the programs, Weight Watchers International of Jericho, N.Y., and Jenny Craig Inc., and Jenny Craig International of Del Mar, Calif., said that they intend to fight the charges.

The remaining three--Diet Center Inc. of Pittsburgh, Pa., Physicians Weight Loss Centers of America Inc. of Akron, Ohio, and Nutri/System Inc. of Blue Bell, Pa.--have agreed to settle the complaints under consent agreements, the FTC said.

Charles Berger, chairman of Weight Watchers, said that the FTC had unfairly singled out his organization, while ignoring numerous others in the industry that are guilty of such violations.

“We are completely innocent,” Berger said. “Weight Watchers has earned the trust and confidence of millions of people by helping them lose weight in a safe, sensible way.”

Ronald E. Gerevas, president and chief operating officer at Jenny Craig, echoed Berger, calling the FTC’s action “misguided and discriminatory.”

“Jenny Craig has always been forthright in its advertising campaigns. . . . We look forward to debating this issue in court.”

Both cases will be scheduled for hearings before an administrative law judge, the FTC said. If the charges are upheld, the agency said it would ensure that Jenny Craig and Weight Watchers “do not mislead consumers about what to expect from the programs in the future.” The FTC said that it may also seek court orders requiring the firms to pay restitution, refunds or some other redress to their customers.

The agency said that it would seek orders against both companies similar to those signed by the other three companies charged.

The proposed orders generally would prohibit the companies from misrepresenting the performance or safety of their programs and would require them to provide scientific data to back up their claims. Furthermore, standards would be set for the type of evidence required--for example, claims of long-term maintenance would have to be documented by evidence that consumers were monitored for a minimum of two years, the FTC said.

The agency also said that it would require “clear and prominent” disclosures to accompany future advertising, including the statement: “For many dieters, weight loss is temporary.”

All five companies market low-calorie diet programs, including food products or recommended diets and weight maintenance services, on a nationwide scale through company-owned and franchised centers.

Thursday’s cases are founded on various advertising statements made by the companies, including testimonials from consumers describing the weight loss they achieved under the programs. The agency charged that none of the five companies could substantiate these ads.

For example, the FTC charged that Jenny Craig and Physicians Weight Loss Centers made false or unsubstantiated representations that their clients typically reached their weight loss goals within certain, predictable time-frames.

The FTC also alleged that Weight Watchers made false weight loss rate representations for its “Quick Success” program in comparison to its earlier programs and has represented without substantiation that its programs are better than others in helping dieters achieve and maintain weight loss.