Summary of Action
Between 2016 and 2018, several class-action lawsuits were filed against the Florida-based multilevel marketing company Jeunesse Global alleging, among other things, that the company deceptively markets and operates an illegal pyramid scheme.
In August 2018, the parties in one of the lawsuits reached a proposed settlement agreement that would essentially ban all Jeunesse distributors (who were distributors from January 2010 to September 2018) from ever suing Jeunesse or any of its distributors again, while only binding the company for a two-year period to maintain a status quo that will not require it to change its deceptive marketing practices or refrain from operating its pyramid scheme. In addition, the proposed settlement places unnecessary and onerous hurdles in class members’ way of obtaining compensation, which will inevitably result in the vast majority of class members receiving nothing. And while the absent class members are left without fair and adequate compensation, class counsel will receive more than a third of the Settlement Fund with leftovers either going back to Jeunesse or, depending on the number of class members who file claims, toward a cy pres award instead of fully compensating class members.
For these reasons, TINA.org filed a brief in November 2018 as amicus curiae opposing the proposed settlement agreement as unfair to consumers. However, on January 9, 2019, the Court granted final approval of the settlement. For more information about TINA.org’s position or to read the full brief, use the menu.
Of note, TINA.org investigated Jeunesse in 2015 and determined that it and its distributors use deceptive and unsubstantiated health and income claims to market the company’s products and business opportunity. After notifying the company of its findings, TINA.org filed complaint letters with the Federal Trade Commission and Florida Attorney General for the company’s failure to fully and timely remove the deceptive marketing claims. To read about TINA.org’s Jeunesse investigation, click here.