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Protein Supplement Buyers Settle With The Chemins Company for $3 Million

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Case ID: 2615 | Consumer Products | 08/12/2003

The parties have reached a tentative $3 million settlement in a nationwide class action filed against dietary supplement manufacturer The Chemins Company, Inc. and its owner, James R. Cameron, on behalf of all persons who purchased for their personal consumption powdered protein products manufactured by the company from January 1, 1993, to January 31, 2002. The action alleged that the company violated the federal Racketeer Influenced and Corrupt Organizations Act (RICO) when it conspired to sell protein supplements that had far less protein than advertised on the products' labels. Claims must be postmarked on or before September 15, 2003, to be considered valid.

The action alleged that the company manufactured, labeled and marketed powdered protein products for sale that contained only half the protein content and twice the carbohydrate content advertised on the product labels. The protein supplements covered by this settlement are Baywood Protein, Body Designer, Colgan Protein Shake, Neogen Protein Shake, Nurish Protein, Parvenu Protein, Protein Plus, Pure-Gro, Pure-Lean, Ultrim, and Vitameal.

Chemins will establish a $3,000,000 settlement fund for distribution as provided in the plan of allocation described in the settlement agreement to supplement purchasers who submit valid and timely proof of claim forms. Eligible claimants will receive a maximum 100% refund of the purchase price of the products they bought. Calculation of benefits will be based on the purchase price paid by each eligible class member multiplied by the number of canisters of products purchased by that person. Class members who properly complete the claims process will be entitled to a pro rata share of the settlement fund. Class members' recovery will depend on the number of claims filed. Claim forms may be downloaded from the settlement website.

The settlement will not be effective until the court grants it final approval. The court has scheduled a hearing on the matter for October 28, 2003.



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