Facts

Irvine-based Vitalife Inc. is an Internet nutritional supplement and cosmetic product company, which also operates under the name Tabak's Health Products. An investigation by the Orange County District Attorney's Office revealed that Vitalife was selling nutritional supplements which contained lead without warning labels, in violation of California Health and Safety Code 25249.6, which requires that all products containing .5 micrograms of ingestible lead be marked with warning labels. Laboratory tests revealed that at least two of Vitalife's products contained twice the .5 threshold lead level.

In 2001, the OCDA issued an injunction against Vitalife prohibiting delaying refunds to its customers, making false advertising claims, and requiring that Vitalife remove customers from their mailing lists if the consumer requested so. Vitalife violated the injunction.

After the 2001 injunction, over 200 complaints were filed with the Better Business Bureau by customers complaining Vitalife failed to provide requested refunds. Vitalife also sent automatic shipments to customers who did not order the products and charged for unwanted products.

Result

The parties settled for $1,025,000. Vitalife did not admit any fault or liability in this settlement. Vitalife will also send letters to all past and current customers who filed complaints offering a opportunity to request a refund, and pay full restitution to customers who filed verified complaints between June 1, 2001 and March 31, 2008. Vitalife is also required to include warning information on products marketed to California residents containing specific levels of lead, and to cease false or misleading advertising.