Company News, Regulations

FTC Takes Action Against DoTerra Distributors for False COVID-19 Health Claims

Defendants, current or former healthcare practitioners, will each pay a $15k penalty.

The Federal Trade Commission (FTC) has brought lawsuits against three current and former high-level distributors – so-called “wellness advocates” – of Utah-based multi-level marketing company DoTerra International, LLC, for making claims that the company’s essential oils and dietary supplements could treat, prevent, or cure covid-19. The distributors— all current or former healthcare practitioners—made the claims in a series of webinars in early 2022 and touted their medical expertise in recommending the products.

“Those making baseless claims that essential oils and supplements can prevent or treat COVID-19 will pay a price,” said Sam Levine, director of the FTC’s Bureau of Consumer Protection.

“Today’s actions against DoTerra ‘wellness advocates’ should be a reminder that distributors for multilevel marketing companies can face consequences for making deceptive claims.”
The three complaints, filed by the Department of Justice on behalf of the FTC, allege that the defendants made numerous claims about the ability of various products to prevent, treat, or cure covid in violation of the FTC Act and the COVID-19 Consumer Protection Act. The defendants are:

• Eliza Johnson Bacot, a nurse practitioner (doTERRA Diamond level distributor), allegedly made claims recommending doTERRA products as a way to prevent as well as treat COVID-19 infection, saying the ingredients in one product “have had some great studies behind them as far as helping with COVID, post-inflammatory response and viral replication,” and that another product could help prevent or treat long  COVID-19 “because of the oils in there like tangerine and cilantro, which help the body detox and also repair.”

• Lauren Busch, a former registered nurse (doTERRA Diamond level distributor) at the time of the webinars, allegedly made claims that doTERRA products are part of “protocols that have been found to be completely effective and amazing by practitioners who are actually working with patients who are struggling right now and that they have been very successful with…,” and that there is “amazing research on essential oils that inhibit the SARS-CoV-2 spike protein” relating to chemical compounds that are “in several of our oils.”

• Dr. Tina Wong, a California pediatrician (doTERRA Blue Diamond level distributor), allegedly discussed specific doTERRA products as part of “COVID prevention basics” and “pediatric prevention/support for COVID.” She also claimed that “…there’s lots of studies that show that oregano is effective against a coronavirus, which is the family that COVID is in,” and that “…lemon and geranium essential oil inhibit the mRNA transcription of the virus.”

The defendants have agreed to court orders that will require them to stop making unfounded COVID claims; back up any health claims; and pay a $15,000 financial penalty.

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