Mystery Solved! FTC Reaches Settlement With Health App Vendor Over False Claims – iHealthBeat
FTC Reaches Settlement With Health App Vendor Over False Claims
Just when I think I've seen it all, The Mole Detective appears… Details on the case below, and how this apps owners are being brought to justice for deceptive claims by the FTC.
In February, an FTC complaint charged Avrom Lasarow and his company L Health with false advertising of its Mole Detective apps (Slabodkin, Health Data Management, 8/14).
An FTC review of the apps' advertising found that the company had “deceptively claimed the apps accurately analyzed melanoma risk and could assess such risk in early stages.”
The developer and initial marketer of the Mole Detective apps, New Consumer Solutions, agreed to a $3,930 settlement. However, Lasarow — the owner of L Health, a separate, British marketing firm that acquired the app — initially had refused to settle with FTC (iHealthBeat, 2/24).
Details of Settlement
Under the new settlement, Lasarow is “prohibited from making any misleading or unsubstantiated claims about the health benefits or efficacy of any product or service, including that a device detects or diagnoses melanoma.”
Jessica Rich, director of FTC's Bureau of Consumer Protection, in a statement said, “We haven't found any scientific evidence that Mole Detective can accurately assess melanoma risk.”
The settlement also included a fine against Lasarow of more than $58,000. The fine has been suspended based on Lasarow's inability to pay it.
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