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Dr. Phil Swallows $10.5M Diet Pill Settlement |
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Dr. Phil's foray into weight-loss supplements has ended in a $10.5 million settlement of a class action that accused the TV therapist of misrepresenting the benefits of his Shape Up! line of products.
The settlement announced today includes $4.5 million in cash, but none of it will come from Dr. Phil's well-lined wallet. “[Dr. Phil] McGraw will have no personal obligation to provide any part of the Settlement Amount,” the agreement ending the case specifies.
Shape Up! distributor Alticor, the parent company of Amway Corp., will provide the cash as well as $6 million worth of Nutrilite vitamins that account for the rest of the settlement. Members of the class are entitled to a payment of $12.50 or two bottles of vitamins for each box of Shape Up! supplements that they purchased, up to a maximum of four boxes.
Three dissatisfied dieters from California, Pennsylvania and Tennessee filed the case in March 2004, alleging Dr. Phil made claims about the effectiveness of Shape Up! that were not supported by “credible scientific research.”
“The Shape Up! supplements did not modify their customers' behavior and did not aid in weight loss,” the complaint said.
Dr. Phil insisted his message was only that customers can change their behavior, not that supplements will do it for them. But the case settled before a judge even ruled on certifying it as a class action.
Shape Up!, which came in the form of pills, shakes and bars and cost $120 for a month's supply, is no longer being sold. Dr. Phil, the author of several weight-loss books, still touts a 14-day diet called “Rapid Start Plan.”
By Matthew Heller 9/25/06
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