Essex County Company Settles ‘Buy One Get One’ Lawsuit: Genie Bra, Ab Coaster

FAIRFIELD, NJ — A pair of companies from New Jersey and Vermont have settled a lawsuit alleging deceptive advertising and sales practices involving “buy one get one free” offers extended to customers, prosecutors say.

Tristar Products of Fairfield agreed to pay $700,000 to the New York Attorney General’s Office to settle claims that “buy one get one free” offers for some of its products were misleading and required customers to pay two separate processing and handling fees that “significantly increased the cost of the offer.”

Product Trend of Williston, Vermont, also agreed to pay $175,000 in the settlement, prosecutors said.

According to authorities, Tristar’s products include:

• Genie Bra
• Various blenders, juicers and exercise equipment
• Ab Coaster
• Cardio Twister

Product Trend’s items include:

• Total Pillow
• Wonderhanger
• Furniture Fix

Authorities launched an investigation against the two companies after receiving complaints from consumers, including hundreds forwarded by the Better Business Bureau, prosecutors said.

According to the Attorney General’s investigation, both marketers ran misleading infomercials on television that often featured “attractively priced” Buy One, Get One offers, which required consumers to purchase a double order of the advertised product. However, the ads did not adequately disclose that consumers would be charged two separate processing and handling fees or the amount of those fees, which significantly increased the cost of the offer.

“When consumers placed orders by phone or online, they were subjected to a confusing, automated ordering process that typically included numerous upsell” offers for additional products,” prosecutors stated in a news release.

“Consumers were also not given the opportunity to review and edit their orders before they were processed,” prosecutors stated. “As a result, in some cases, consumers who responded to the marketers’ advertisements were charged significantly more than they expected and received products that they did not intend to order.”

According to prosecutors, one Tristar customer who responded to a $19.99 “Buy 3, get 3” Genie Bra advertisement ended up being charged $101. Although the customer returned the bras, Tristar allegedly refused to refund the $27 charged for shipping and handling.

The Attorney General’s investigation also revealed that consumers who sought warranty service from Tristar for products that malfunctioned or to obtain authorization to return products often “faced long telephone hold times and otherwise had difficulty obtaining relief or assistance,” prosecutors said.

Consumers who believe they may be entitled to a refund should notify the Attorney General’s office, prosecutors stated. Consumers can file a complaint online or obtain a complaint form at www.ag.ny.gov. Consumers can also call the Attorney General’s consumer helpline at 1-800-771-7755.

Prosecutors said that the settlements require the marketers to:

• Clearly and conspicuously disclose all material terms of an advertised offer.
• Clearly and conspicuously disclose the amount of any processing and handling fee for the second item in a “Buy One, Get One” offer.
• Provide consumers with an opportunity to confirm the details and the total price of any order before it is processed. For orders placed online, this includes presenting the consumers with a checkout or shopping cart page that the consumer can edit.
• Disclose the amount of any processing and handling fees during the ordering process before the consumer is asked to confirm the order details.
• Label all hyperlinks to clearly convey the consequence of clicking the link.
• Email consumers who place orders by phone an order summary with any processing, handling or other charges.
• Ensure that the marketers’ customer service lines are adequately staffed so that consumers are not subjected to long hold times.

NOT AS SEEN ON TV

In March of 2015, the Attorney General and Federal Trade Commission reached a similar settlement with Allstar Marketing Group, LLC located in Hawthorne, New York.

In July of 2015, Telebrands Corp. - the Fairfield, New Jersey-based company best known for its “as seen on TV” products – settled a lawsuit with the NJ Office of the Attorney General and Division of Consumer Affairs which alleged that the company violated the New Jersey Consumer Fraud Act and Advertising Regulations.

The charges were filed after the Division of Consumer Affairs allegedly made undercover purchases of multiple Telebrands products, including Instabulbs, the Olde Brooklyn Lantern and the Pocket Hose.

• See related article: Not As Seen On TV: Essex County Company Settles Fraud In Advertising Lawsuit

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