2nd Circ. Affirms $1.9M Award Against Diet Aid Co.

Law360, New York (August 19, 2011, 3:27 PM EDT) -- The Second Circuit on Friday ruled that a company that sold supposedly miraculous, but actually useless, weight-loss aids must pay $1.9 million to the Federal Trade Commission.

Defendant Bronson Partners LLC had argued that the FTC did not have the right to collect money damages — or if it did, that it should deduct Bronson's $1.2 million in marketing expenses — but a three-judge panel rejected both points.

“It is well-established that defendants in a disgorgement action are not entitled to deduct costs associated with committing...
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