Dannon To Pay $21M Over False Yogurt Claims

Law360, New York (December 15, 2010, 5:22 PM EST) -- Yogurt giant The Dannon Co. Inc. has agreed to shell out $21 million to settle false advertising claims brought by the Federal Trade Commission and 39 state attorneys general over unsubstantiated claims about the health benefits of its DanActive dairy drink and Activia yogurt products.

As part of the deal heralded by the FTC on Wednesday, Dannon agreed to stop claiming that one daily serving of Activia relieves digestive irregularity and that DanActive helps people from catching the cold or flu.

The yogurt company will also...
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