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Information About The Airborne Health, Inc. Settlement, and Other Ongoing Litigation Alleging False and Deceptive Marketing Of Airborne(R)
Date:3/4/2008

WASHINGTON, March 4 /PRNewswire/ -- Today, a settlement entered into by Airborne Health, Inc. - the maker of the Airborne(R) brand "effervescent health formula" - became widely publicized. In that settlement, Airborne Health, Inc. agreed to pay approximately $23.3 million to settle a class action lawsuit filed in California. The settlement has been reported in the national media as a victory for consumers, and a blow to Airborne Health, Inc.

But there is more to the story. Airborne Health, Inc. continues to face other litigation from consumers, including a lawsuit pending in federal court in New Jersey titled Geiss, et al. v. Airborne Health, Inc., et al. The plaintiffs in Geiss are represented by a group of consumer rights attorneys, including Jonathan K. Tycko at the law firm of Tycko & Zavareei LLP.

Airborne Health, Inc. faces continued litigation, including the Geiss case, because the California settlement is actually not a great victory for consumers. Most significantly, the settlement agreed to by the California plaintiff and his attorneys does not require Airborne Health, Inc. to actually change its advertising practices. In other words, after this settlement - which will potentially wipe out the legal claims of millions of consumers - Airborne Health, Inc. will be free to continue to engage in its highly- deceptive advertising. The California federal court - which will conduct a "fairness hearing" on June 16, 2008 - will ultimately need to decide whether that aspect of the settlement is fair and reasonable to consumers.

Although $23.3 million sounds like a large sum of money, Airborne Health, Inc. claims that it sells approximately $300 million worth of its product each year, and the settlement would cover anyone who purchased Airborne(R) since May, 2001, a period of more than six years. Accordingly, the $23.3 million available in the California settlement will cover only a miniscule fraction of the potential consumer claims. Yet,
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SOURCE Tycko & Zavareei LLP
Copyright©2008 PR Newswire.
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