Chicago, IL (February 2, 2007) – Gencor Pacific, Inc., specializing in developing unique herbal solutions for lifestyle management, announced today that it has filed suit in federal district court in the Northern District of Illinois against Federal Laboratories Corporation and Nature’s Thyme, LLC (case numbers 07-C-0168 and 07-C-0167 respectively) alleging false advertising, false comparative advertising, unfair competition, defamation, interference with contractual relations, copyright infringement and unjust enrichment.
Gencor, with U.S. headquarters in Austin, TX, is a leading herb and herbal extracts provider in 30 countries worldwide. Included in their product line is Slimaluma™, an appetite suppressant made from a patented standardized extract of the Caralluma fimbriata herb. Gencor Pacific has developed a unique patented process to extract the essential constituents of the whole herb without chemical alteration to any of the key constituents, ensuring that the full benefits of the herb are delivered in concentrated form.
As a leader in the industry, Gencor has conducted extensive research and published several study reports on the effectiveness and safety of Caralluma fimbriata extract.
Federal Labs and Nature’s Thyme each advertise and sell a non-extract Caralluma fimbriata powder product. Gencor became aware of products from these companies when it learned that each company was using Gencor’s Caralluma extract studies and reports in connection with the sale of Federal Lab’s and Nature’s Thyme’s Caralluma fimbriata non-extract products.
Gencor is concerned that companies and consumers are being misled into believing that Federal Lab’s and Nature’s Thyme’s crude powder products are the same as or equivalent to Gencor’s extract.
“It is terribly misleading to base and advertise claims about your product on studies that have not relevancy to your product,’ said Rakesh Amin of Amin Hallihan, LLC and Gencor’s legal representative. “Using Gencor’s studies in connection with Federal Lab’s and Nature’s Thyme’s byproducts is like using studies on apples to make health claims about oranges,” added Amin.
Gencor is also suing for copyright infringement to stop the two companies from copying and distributing their reports. Federal Lab’s and Nature’s Thyme both distribute marketing materials to potential customers containing lab reports and other literature.
“Gencor was astonished to see that Federal Lab was distributing entire copies of reports and other literature on Caralluma fimbriata extract that were developed by Gencor,” Amin said. “We asked Federal Labs to stop using Gencor’s reports but they have not responded in writing,” added Amin. “However it is telling about the merits of Gencor’s claims that Federal Labs removed a link from their web site which linked to an online copy of Gencor’s report soon after a cease and desist letter was mailed to them,” noted Amin.
Gencor overall seeks an injunction, corrective advertising, damages and attorney fees.
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