MARKETERS SETTLE WITH FTC REGARDING AUTOMOBILE ENGINE "MULTIVITAMIN" CLAIMS

FROM:  FEDERAL TRADE COMMISSION
Marketers Who Claimed Fuel Additive Could Drastically Increase Fuel Economy and Reduce Emissions Settle with FTC

Under a settlement with the Federal Trade Commission, the marketers of a fuel additive called EnviroTabs will pay $800,000 for consumer redress and is prohibited from making false, misleading, or unsubstantiated claims that EnviroTabs, when added to any type of fuel, will increase fuel efficiency, reduce emissions, and save consumers money.

According to the FTC’s complaint, Green Foot Global LLC (GFG) represented EnviroTabs as the “World’s 1st Multi-Vitamin for Your Engine!” and sold it nationwide through its website and through multi-level marketing via distributors.  In English and Spanish, GFG advertised EnviroTabs as a fuel additive that drastically improves fuel mileage and significantly reduces vehicle emissions, and claimed it was scientifically proven to be effective.

The individual defendants are William C. Hyman, also known as Bill Hyman; Mary Ann P. Hyman, a/k/a Mary Ann Proulx Hyman, Mary A. Hyman, Mary P. Hyman, Mary Ann Proulx, MaryAnn Denise L. Proulx, Mary Ann Prouleaux, Mary P. Proulx Hyman, Mary Ann A. Hyman, and Mary Hyman; Ralph M. Flynn Jr., a/k/a Ralph Flynn; Martinez Van Turner, a/k/a Martinez V. Turner, Marty Turnberg, and Marty Turner; and Patrick Hintze, a/k/a Pat Hintze.  The corporate defendant is Green Foot Global LLC, also doing business as Green Foot Global, Greenfoot Global, GFG, GFG Commercial, GFG Industrial, GreenFootGlobal.com, GFG Fuel Tech LLC, and GWO Network.

In addition to the $800,000 judgment, the settlement prohibits the defendants from misrepresenting tests or studies about any product or service, and bars them from making claims about any product without having competent and reliable scientific evidence.  For example, the defendants may not claim that any product saves fuel;  increases motor vehicle fuel economy or decreases fuel consumption rates; reduces emissions; helps a vehicle pass an emissions inspection; saves money on fuel, maintenance or repairs; is environmentally friendly, “green” or “eco-friendly;” has any environmental benefit; removes engine carbon deposits; or extends oil or engine life.

The settlement also bars the defendants from selling or otherwise benefitting from consumers’ personal information and from failing to properly dispose of customer information after providing the information to the FTC so that the agency can return money to defendants’ customers.

The Commission vote authorizing the staff to file the complaint and approving the proposed consent judgments was 4-0.  The judgment against Flynn, Turner and Hintze was entered by the U.S. District Court for the District of Nevada on November 18, 2013.  The order against GFG, William C. Hyman and Mary Ann P. Hyman was entered by the court on November 19, 2013.

NOTE:  The Commission files a complaint when it has “reason to believe” that the law has been or is being violated and it appears to the Commission that a proceeding is in the public interest.  Consent judgments have the force of law when approved and signed by the District Court judge.

The Federal Trade Commission works for consumers to prevent fraudulent, deceptive, and unfair business practices and to provide information to help spot, stop, and avoid them.

EPA SAYS DATA INDICATES GAINS IN FUEL ECONOMY FOR 2012

FROM: U.S. ENVIRONMENTAL PROTECTION AGENCY
New EPA Report: Initial Data Shows Significant Gains in Fuel Economy for 2012

WASHINGTON – Today, EPA released its annual report that tracks the fuel economy of vehicles sold in the United States, underscoring the major increases made in the efficiency of the vehicles Americans drive, reducing oil consumption and cutting carbon emissions. According to the report, EPA estimates that between 2007 and 2012 fuel economy values increased by 16 percent while carbon dioxide (CO2) emissions have decreased by 13 percent, and in 2012 alone the report indicates a significant one year increase of 1.4 miles per gallon (mpg) for cars and trucks.

"Today’s report shows that we are making strides toward saving families money at the pump, reducing greenhouse gas emissions and cleaning up the air we breathe," said Gina McCarthy, Assistant Administrator for EPA’s Office of Air and Radiation. "The historic steps taken by the Obama administration to improve fuel economy and reduce our dependence on foreign oil are accelerating this progress, will spur economic growth and will create high-quality domestic jobs in cutting edge industries across America."

The expected 1.4 mpg improvement in 2012 is based on sales estimates provided to EPA by automakers. EPA’s projections show a reduction in CO2 emissions to 374 grams per mile and an increase in average fuel economy to 23.8 mpg. These numbers represent the largest annual improvements since EPA began reporting on fuel economy.

Fuel economy is expected to continue improving significantly under the Obama administration’s historic National Clean Car Program standards. The program cuts greenhouse gas emissions and would double fuel economy standards by 2025. The standards will save American families $1.7 trillion dollars in fuel costs, and by 2025 will result in an average fuel savings of more than $8,000 per vehicle. The program will also save 12 billion barrels of oil, and by 2025 will reduce oil consumption by more than 2 million barrels a day – as much as half of the oil imported from OPEC every day.

EPA’s annual "Light-Duty Automotive Technology, Carbon Dioxide Emissions, and Fuel Economy Trends: 1975 through 2012" attributes the improvements to the rapid adoption of more efficient technologies, the increasing number of high fuel economy choices for consumers, and the fact that many automakers are already selling vehicles that can meet more stringent future fuel economy and greenhouse gas emissions standards. The report indicates that the projected gains for 2012 more than make up for a slight dip in fuel economy in 2011.

Compared to five years ago, consumers have twice as many hybrid and diesel vehicle choices, a growing set of plug-in electric vehicle options, and a six-fold increase in the number of car models with combined city/highway fuel economy of 30 mpg or higher.