FTC Challenges Claims Made for
"New Generation" Baldness Products
Seeks Injunction and Consumer Refunds
FTC News Release
November 18, 1988
The Federal Trade Commission has charged California Pacific Research, Inc. (CPR) and its owner, Robert Murphy, with falsely advertising "New Generation" baldness preventative and remedy. The complaint was filed on November 14, 1988 in the US District Court for the District of Nevada.
The complaint alleges that CPR markets a combination of shampoos and cleanser/conditioners, known collectively as "New Generation," claiming that they reduces excessive hair loss and promotes new hair growth for individuals with male pattern baldness. The product contains polysorbate-60, among other ingredients, in a formula allegedly developed and tested at the University of Helsinki, Finland. It has been advertised by various means, including 30-minute television commercials. The complaint alleges that the company made such claims as: "[H]undreds of thousands of men and women have found that this exceptional product stops excessive hair fallout and has promoted new hair growth"; and "[o]ur testing program showed that about 90 percent of the users will experience a significant reduction in abnormal hair loss within 3 to 4 weeks of proper use. Of the approximately 80 percent that will start regrowing their hair, about 75 percent should notice new hair in 8 to 12 weeks."
The complaint alleges that the advertisements falsely represent:
- that New Generation reduces excessive hair loss in virtually everyone who has male pattern baldness; and
- that New Generation will promote new hair growth in a substantial number of individuals who have male pattern baldness.
The complaint further alleges that as a result of these false claims, consumers have suffered "substantial monetary injury" while the defendants "have enjoyed, and continue to enjoy, substantial monetary gains." It asks the court to issue preliminary and permanent injunctions and to order the defendants to pay refunds to consumers.
- Civil Action No. CV-N-88-602 (District of Nevada). FTC Matter No. X89-0013. FTC File No. 882-3167.
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This page was posted on August 27, 2006.