Antitrust Law Daily Wrap Up, ADVERTISING NEWS: Companies must pay $17M for deceptively marketing erectile dysfunction treatments, (Aug 23, 2016)
Organizations Mentioned:Florida Men’s Medical Clinic, LLC | Men’s Medical Clinic, LLC
By Greg Hammond, J.D.
Florida Men’s Medical Clinic, LLC and Men’s Medical Clinic, LLC have been ordered to pay more than $17 million for deceptively marketing and billing for medications and services concerning the treatment of erectile dysfunction at an unlicensed medical clinic in Framingham, Massachusetts. $6.3 million of the judgment will serve as restitution for Massachusetts consumers (Massachusetts v. Florida Men’s Medical Clinic, LLC, Case No. 1584CV01968).
The Massachusetts attorney general filed suit against the two companies in 2015, alleging that the defendants unfairly and deceptively advertised the medical services and medications sold at their Framingham facility. In particular, the complaint asserted that the two companies misrepresented that medications they sold for erectile dysfunction were new, unique to each patient, painless, and with minimal or no side effects. However, the medications were not new, were not unique to each patient, had pain as a known and common side effect, and had a host of additional, potentially serious side effects that could cause penile tissue toxicity and worsen erectile dysfunction.
The defendants also purportedly engaged in unfair and deceptive acts and practices by: (1) operating their clinic without having a clinic license from the Department of Public Health; and (2) not having at least one physician present at the clinic when medical services were provided by personnel not licensed as physician assistants or nurses.
“Patients entrust medical providers with their health and well-being, and all patients deserve access to honest and proper care,” stated Massachusetts Attorney General Maura Healey. “Medical providers cannot mislead Massachusetts consumers about their services and medications. Our office will continue to pursue those who prey on vulnerable patients who are simply seeking medical care.”
Under the judgment, Florida Men’s Medical Clinic, LLC and Men’s Medical Clinic, LLC are prohibited from operating unlicensed medical clinics in Massachusetts or deceptively marketing any medication or service regarding the treatment of erectile dysfunction.
Companies: Florida Men’s Medical Clinic, LLC; Men’s Medical Clinic, LLC
News: Advertising StateUnfairTradePractices MassachusettsNews