Airborne Cold Remedy Settles Suit For $30M

Company Claims Product Prevents Colds; Federal Trade Commission Says That's Bunk

(AP)  The makers of Airborne tablets have agreed to pay $30 million to settle a lawsuit and federal regulators' charges that they made false claims about the cold-fighting benefits of the fruit-flavored remedies.

The Federal Trade Commission said Thursday there is no evidence that products from Bonita Springs, Fla.-based Airborne Health Inc. "provide any tangible benefit for people who are exposed to germs in crowded places."

The company, founded by Victoria Knight-McDowell and Thomas John McDowell, markets a line of water-dissolving tablets that are sold in pharmacies and grocery stores nationwide.

Airborne's chief executive stressed Thursday that the FTC charges deal with advertising and labeling that the company no longer uses.

The company's Web site provides links to over a dozen studies which it says show "that the key ingredients found in Airborne will help support a healthy immune system." Ingredients include various vitamins, minerals and herbs.

"A class action lawsuit sparked this matter," said Airborne CEO Elise Donahue. "We're just one of many major consumer brands across America that are under assault by class action lawyers."

The FTC action adds $6.5 million to a previous class action settlement in which Airborne agreed to pay $23.5 million in customer refunds and attorney fees. That agreement is pending approval in federal court in California.

After the FTC agreement is approved, Airborne's founders will be barred from making false or unsubstantiated claims about cold prevention products.

[cyberdjs4]

I remember when The "Barker Era" Price Is Right shilled this stuff.

Luckily, The "Carey Era" Price Is Right stopped that.

R.

If the makers of Airborne were as well connect as Big Pharma is to the FDA this fine would have never happen.

[tngreen]

I have had very good results from Zicam nasal swabs and have recommended them to my friends. I travel for business, and I always carry a few with me, just in case I feel a cold coming on. I swear by them.

If Airborne made false claims about their product, I couldn''t be more pleased that they got busted. This is a good illustration of why we need the ability to apply punitive damages. If Airborne had only been assessed an amount equal to the profit they earned, it would have been "no harm, no foul," and they (or others) might be encouraged to do it again. The award has to HURT in order to be a disincentive to cheat or harm the public. In this case, it was merely a false claim to ward off colds; it could as easily have been a claim to ward off cancer that caused a customer to ignore a cancer indicator. Think about it the next time you hear some moron going off about how we need tort reform.

[toolmangler-2009]

There''''s no money to be made in keeping people healthy, not a penny.

Posted by Voltaire777 at 06:03 PM : Aug 15, 2008



Well said and very true.

[medmom04]

of COURSE airborne doesn''t work! is it anti-viral? absolutely not. anti-bacterial? nope. made by a doctor/reseacher/scientist/scrutinized by epidemiologists or ethics committees? not at all. farce is all it ever was. it''s not possible for airborne to stop the common cold. if it worked, your docs would recommend it. and no doc does.

[avigil2]

Airborne never EVER worked for me. I thought it was a scam from the beginning.

[u-r-right]

I recall they were about $8 for 10 tablets. They must have made a killing until they got caught. May karma give them chronic sinus trouble.

This reminds me so much of any new prescription drug.

[incog-nito]

jackson3344: Are you out of your mind? Capitalism is fine and well, but it does not give you a license to claim something that is not true. That''s called fraud. Do you think every American has a laboratory is their home so that they can analyze the chemical content of everything they buy from the market?

[jackson3344]

Uh -- have you people all lost your mind? There is no cure for the flu or the cold and there is nothing that prevents a person from catching either of these bugs.

Don''t blame the makers of the product, blame yourself for being gullible.

This is capitalism at its absolute finest! The lawyers are just mad because they didn''t get in on the scheme first!