Central Coast Nutraceuticals, Inc.

Customer Complaints Summary

Additional Complaint Information

Based on BBB files, this company has an "F" Rating with BBB due to unanswered complaints and a pattern of complaints. Complaints concern billing or collection issues and customer service issues.  Complaints state that after signing up for the $1 risk-free trial, and paying shipping and handling fees, consumers are billed $38.95 for the product before the 20 day trial period ends. Additionally, complaints allege the company does not honor their cancellation policy and the terms for cancelling an order are unclear and confusing. Consumers have indicated difficulty contacting this company and experience hold times up to 75 minutes before a customer service representative can be reached.

The company's website states "I understand that this consumer transaction involves a negative option, and that I may be liable for payment of future goods and services under the terms of this agreement for $39.95 per month if I fail to notify the supplier not to supply the goods or services described." Additionally, the company's website states that if the consumer does not notify the company of their cancellation once the Green Tea Extreme has been purchased and before the 30 day trial period is over, the company will automatically send the consumer a fresh 1-month supply of Green Tea Extreme and the credit card provided will be billed $39.95 plus $4.95 s/h for a total of $44.90 when each new product ships. This company posts similar disclosures on the websites for other various products offered.

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• Government Actions

  Complaint for Permanent Injunction and Other Equitable Relief
  Date of Action: 8/5/2010
  

  On August 5, 2010, the Federal Trade Commission filed a Complaint for Permanent Injunction and Other Equitable Relief against Central Coast Nutraceuticals, Inc. a California Corporation, ILife Health and Wellness, LLC, a Delaware limited liability company, Simply Naturals, LLC, a Delaware limited liability company, Fit for Life, LLC, a Delaware limited liability company, Health and Beauty Solutions LLC, a Delaware limited liability company, Graham D. Gibson, and Michael A. Mckenzy for acts and practices that violate the FTC Act and the Electronic Fund Transfer Act.
  

   

  
  The complaint alleges that CCN, ILife Health and Wellness, LLC, Simply Naturals, LLC, Fit for Life, Health and Beauty Solutions, LLC, Graham D. Gibson, and Michael A. Mckenzy used deceptive advertising by using fake endorsements from celebrities like Oprah Winfrey and Rachael Ray and by pitching products such as AcaiPure as having dramatic weight loss claims on their website and deceptively claiming ColoPure could help prevent colon cancer. The complaint further alleges unfair billing practices by offering promised buyers a ‘risk free trial’ and then billed their credit/debit cards multiple times without authorization and failing to adequately disclose that consumers would be automatically charged for items other than the trial product unless they opted out.

   

  The Federal Trade Commission requested that Central Coast Nutraceuticals, Inc., ILife Health and Wellness, LLC, Simply Naturals, LLC, Fit for Life, LLC, Health and Beauty Solutions LLC, Graham D. Gibson, and Michael A. Mckenzy be permanently enjoined and restrained from engaging in the acts and practices that violate the FTC Act and the court order halts the allegedly illegal conduct, imposes an asset freeze, and appoints a temporary receiver over CCN and related companies.
  

   

   

  
  This complaint is still pending. For further information on this matter, you may wish to visit the Federal Trade Commission’s website at http://www.ftc.gov/os/caselist/1023028/100816centralcoastcmpt.pdf

  under FTC File No. 102 3028.

   

  FTC v. Central Coast Nutraceuticals, Inc., et al.
  Date of Action: 1/3/2012
  

  Judge Charles R. Norgle, Sr. of the U.S. District Court for the Northern District of Illinois, Eastern Division signed a Settlement Order against Central Coast Nutraceuticals, Inc. (Central Coast) on January 3, 2012.  The Settlement Order resolved a Federal Trade Commission (FTC) lawsuit and imposed an $80 million judgment against Central Coast and six other defendants.  Under the Settlement Order, the judgment will be suspended if and when the FTC receives assets worth approximately $1.5 million from the defendants.

  The FTC complaint alleged that two individuals, together with Central Coast and four related companies, violated the Federal Trade Commission Act, the Electronic Fund Transfer Act, and federal Regulation E in the course of marketing their Acai Pure supplement and their Colotox colon cleanser over the internet.  The marketing campaign was alleged to falsely claim that Acai Pure would cause rapid, substantial weight loss and that Colotox would prevent colon cancer.  Finally, the complaint alleged the defendants also falsely claimed to offer free trials, full refunds, and repeatedly made unauthorized charges to consumers’ bank accounts.

  The Better Business Bureau named “free” trial offers – including those for acai supplements offered by the defendants in this case – as one of the “Top 10 Scams and Rip-Offs of 2009.”

  Read the FTC press release at http://www.ftc.gov/opa/2012/01/centralcoast.shtm .

  Read the FTC complaint at http://www.ftc.gov/os/caselist/1023028/100816centralcoastcmpt.pdf

  Please note that a Settlement Order is for settlement purposes only and does not constitute an admission by the defendants that they violated the law.  Settlement Orders have the force of law when approved and signed by the District Court Judge.

  What government actions does BBB report on?

• Advertising Review

  BBB has nothing to report concerning Central Coast Nutraceuticals, Inc.'s advertising at this time.

  What is BBB Advertising Review?