Summary

BACKGROUND FACTS:

The Commission took suo motto notice under Section 37(1) of the Act against several Companies (14 in total- the Respondents) pertaining to their engagement within the production, distribution, packaging and marketing of numerous weight loss products, which prima facie, involved violation of Section 10 of the Competition Act.

After reviewing the relevant marketing content, an enquiry was initiated into the matter under Section 37(1) of the Act, and an enquiry committee was constituted to investigate.

ORDER:

The Commission concluded, with respect to all 14 Respondents, that they engaged in deceptive marketing practices by making specific and quantifiable claims that had no reasonable basis and that could not be classified as mere puffery.

The Commission also issued the following guidelines for undertakings marketing weight loss product in the market :< /p> 1.

The undertaking advertising a weight loss product must possess and reply upon competent and reliable scientific evidence that is sufficient in quantity and quality based on standards generally accepted in the relevant scientific fields. 2. For weight loss claims, testing must be rigorous, adequate and proper, and it is recommended that the service of reputable laboratories be procured for design and conduct of the testing 3. No false or misleading representations to the public should be made regarding any endorsement by a reputable body or governmental agency etc. 4. Testimonials should be true and from actual customers who have no material connection with the undertaking unless it is properly disclosed. 5. Appropriate disclaimers regarding, among other things, the side effects and its effect on people with special conditions or specific characteristics should be included.