This past week, several consumer actions made headlines that affect the retail industry.
The NAD Refers Sports Drink Maker to FTC
The NAD has referred BA Sports Nutrition, the maker of BodyArmor sports drinks, to the FTC after the advertiser failed to alter certain comparative ads. The ad at issue implores customers to “Ditch artificial Sports Drink[s]: artificial flavors, artificial sweeteners, artificial colors” and depicts a bottle of a competing sports drink. The NAD found that the ad implied that the competing sports drink contained artificial flavors, sweeteners and colors when, in fact, many of the competitor’s sports drinks did not.
Bumble Bee to Plead Guilty in Tuna Fish Conspiracy
The Department of Justice announced that Bumble Bee Foods LLC agreed to plead guilty to conspiring to fix the price of certain tuna fish products, including canned and pouched tuna. Bumble Bee has agreed to pay a $25 million criminal fine, which could swell to $81.5 million if the company were to be acquired by a separate entity in the future. Bumble Bee is cooperating in the DOJ’s ongoing tuna fish price fixing investigation. We previously reported on evidence of a tuna fish conspiracy, which surfaced when the DOJ reviewed a proposed acquisition of Bumble Bee.
President Trump’s FDA Commissioner Approved
The U.S. Senate approved Dr. Scott Gottlieb as a new Commissioner at the Food and Drug Administration. Dr. Gottlieb is a physician and former deputy FDA commissioner. The confirmation vote was 57-42 in favor of his confirmation. Dr. Gottlieb was sworn in on May 11, 2017.