MotorUp Corporation Announces Agreement with Federal Trade Commission
30 March 2000
MotorUp Corporation Announces Agreement with Federal Trade CommissionPHILADELPHIA, March 29 MotorUp Corporation announced today that it has reached agreement with the Federal Trade Commission concerning future substantiation for product claims for engine additives and related products. In the Consent Order announced today by the Commission, there were no findings regarding whether past claims for MotorUp products were unsubstantiated, and MotorUp continues to believe that all of its claims were, in fact, fully substantiated. However, Allen Uhler, a director of MotorUp, observed that, "MotorUp has agreed with the FTC that it will continue to adhere to the highest standards in the motor oil additive industry. We are pleased that, unlike other FTC settlements in the engine additive field, there were no findings that required the payment of consumer redress." According to Edward F. Glynn, Jr. of Venable, Baetjer, Howard & Civiletti, Washington, DC, counsel for MotorUp, such redress is generally required only where the Commission believes that the conduct was "dishonest or fraudulent." The infomercial, which was the subject of the FTC complaint, was removed from the air in February 1998 and has not been run since. Mr. Uhler stated: "Putting this behind us allows us to continue our work on exciting new automobile-related products for the American consumer. We are confident that our current advertising meets or exceeds any standards to which we may be held."