FTC Prevails in Lawsuit over False Energy Savings Claims

Cozen O'Connor
Contact

Cozen O'Connor

  • A federal District Court awarded the FTC summary judgment in an enforcement action against SPM Thermo-Shield, Inc. and its officers involving allegations that the company violated the FTC Act when it made deceptive claims about the insulating and energy-saving capabilities of its architectural wall-coating products.
  • According to the complaint, Thermo-Shield falsely claimed that its products had optimal “R-values, ”— which is a measure of the product’s resistance to heat flow – and provide significant energy savings for consumers. The FTC alleged that Thermo-Shield knowingly advertised on its website false R-values based on studies from decades-ago, which were based on outdated science.
  • In its Opinion and Order, the U.S. District Court for the Middle District of Florida granted permanent injunctive relief prohibiting Thermo-Shield from misrepresenting the R-value of any architectural coating product, making unsubstantiated comparisons of its R-value to any other product, system or insulation, or claiming that any architectural coating product provides energy savings without disclosing that these savings vary according to several factors.

DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

© Cozen O'Connor | Attorney Advertising

Written by:

Cozen O'Connor
Contact
more
less

Cozen O'Connor on:

Reporters on Deadline

"My best business intelligence, in one easy email…"

Your first step to building a free, personalized, morning email brief covering pertinent authors and topics on JD Supra:
*By using the service, you signify your acceptance of JD Supra's Privacy Policy.
Custom Email Digest
- hide
- hide

This website uses cookies to improve user experience, track anonymous site usage, store authorization tokens and permit sharing on social media networks. By continuing to browse this website you accept the use of cookies. Click here to read more about how we use cookies.