Fungi-Nail Cannot Treat Nail Fungus as Advertised, Class Action Lawsuit Claims

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A proposed class action lawsuit alleges that Arcadia Consumer Healthcare has falsely and misleadingly advertised its Fungi-Nail products as effective at treating nail fungus.

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The 20-page false advertising lawsuit claims that the packaging for Fungi-Nail pens, ointments and liquids is rife with misleading efficacy claims, including that Fungi-Nail “kills fungus” and “cure[s] and prevent[s]” nail fungi with a “maximum strength” formula. However, the suit highlights that Fungi-Nail packaging includes a fine-print disclaimer on the back label indicating that the products are not meant for the treatment of nail fungus, and that they are not effective at doing so.

“Hundreds of thousands of consumers have purchased these products with the false belief that they treat nail fungus,” the filing reads. “Because the Fungi-Nail products do not and cannot treat nail fungus, purchasing consumers have been misled.”

According to the complaint, the back label on Fungi-Nail product packaging includes qualifying statements such as “[t]his product is not effective on the scalp or nails” or “not for scalp or nail fungus.” Per the lawsuit, these statements contradict the impression conveyed by the “Fungi-Nail” name, nail imagery and ad statements that the products are “clinically proven."

Moreover, the back-label qualifying statements are not tied to the representations on the front label of Fungi-Nail products, as the lawsuit says they are not marked with an asterisk, callout or any other indicator that would present the information to consumers in a clear, conspicuous manner.  

The filing says that despite Arcadia Consumer Healthcare’s awareness that “many” consumers do not read the products’ back labels, the company has continued to make front-label claims about the products’ suitability and effectiveness for the treatment of fungal infections, creating for consumers “the clear impression that such treatment is possible.”

The plaintiff, who the suit says suffers from chronic nail fungus, purchased Fungi-Nail under the belief that it was a medical treatment for nail fungus, with the reasonable expectation that it killed all fungus, including nail fungus. After applying the product “continuously” over several months, the plaintiff noticed no improvement to her condition, the filing claims.

Per the case, Arcadia Consumer Healthcare has unfairly reaped millions of dollars in sales, as consumers have been induced into buying the Fungi-Nail items at issue by the products’ packaging and marketing.

The Fungi-Nail class action lawsuit looks to cover all Illinois residents who purchased Fungi-Nail products within the last four years.

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