Supplement Co. Inks $1.7M Deal Ending Toxic Drink Claims


 A New York federal judge has given preliminary approval for a $1.7 million settlement between consumers and the makers and sellers of recalled dietary supplement All Day Energy Greens that allegedly sickened and killed some of its customers.

The deal would end a consolidated class action that claimed that Naturmed Inc., which also did business as the Institute for Vibrant Living or IVL, failed to timely issue a public recall of its all-natural energy drink, which was allegedly tainted with contaminants that caused nausea, vomiting, diarrhea, dehydration, comas and death.

Other defendants named and which settled were Bactolac Pharmaceutical Inc., which manufactured the products, and Independent Vital Life LLC, which is considered a successor company to Naturmed after purchasing it and keeping on board key personnel including founder Don Elgie.

The deal requires the companies to pay $1.72 million into a settlement fund by Jan. 30.

Counsel for the plaintiffs could receive attorney fees of up to 33% of the total payout, or $575,000, and litigation cost reimbursement of about $210,000. The amounts are subject to the court’s approval and would come out of the settlement fund.

The 14 lead plaintiffs will also be eligible for a service award of up to $5,000 each for their role in the lawsuit.

The rest of the class will get a $10 credit toward the purchase of any Independent Vital Life product, which will expire after three years. Or they can request a $5 cash payment. But that payment could be reduced if more than 20,000 ask for money.

The buyers claimed that All Day Energy Greens products promised to provide sustained, healthy energy, but failed to live up to the promise. The products instead contained off-label ingredients that are harmful to those who drink them, according to the 2018 lawsuit.

While Naturmed knew there was a problem as early as 2014, due to increasing customer complaints, it didn’t institute a recall until 2016, according to the suit. The company switched manufacturers in July 2015 and saw a decrease in complaints as a result, but Naturmed still did not inform consumers about the product’s dangers. It didn’t sufficiently investigate Bactolac’s practices until after the recall.

The company admits to no wrongdoing as part of the settlement. The court is expected to grant final approval to the deal on May 19.


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