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Kushly Industries LLC

Agreed to an FTC order and paid consumer redress over allegedly unsupported claims that its CBD treats serious illness

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According to Federal Trade Commission, May 17, 2021 · Read the source · +2 more

Where
Arizona, United States
First reported
Last checked

Resolved or closed

The source lists this matter as resolved or closed. The entry stays public so the record remains available.

Summary

Kushly Industries LLC of Scottsdale, Arizona, was the subject of what the FTC described in May 2021 as its seventh case challenging CBD health claims. The FTC alleged that the company and its chief executive marketed CBD gummies, softgel capsules and topical products online with false or unsubstantiated claims that they could treat conditions ranging from acne and psoriasis to cancer and multiple sclerosis, and that science proved benefits for hypertension, Parkinson's disease and Alzheimer's disease. On July 6, 2021, the FTC approved a final administrative consent order that prohibits such claims without adequate evidence and required a payment of $30,583.14, an amount the agency tied to what consumers had paid for the products. In August 2022, the FTC said it was sending almost $21,000 in refunds to 576 consumers who had bought Kushly's deceptively marketed CBD products.

What the source found

  • The FTC alleged false or unsubstantiated claims that the products treat conditions including acne, psoriasis, cancer and multiple sclerosis.
  • The FTC also alleged false claims that studies proved benefits for hypertension, Parkinson's disease and Alzheimer's disease.
  • The final order required a $30,583.14 payment and bars unsupported health claims.
  • In August 2022 the FTC returned almost $21,000 to 576 consumers, about $36 each.

Products named

  • CBD gummies
  • CBD softgel capsules
  • CBD topicals

Timeline

  1. FTC announces complaint and proposed consent order

  2. FTC approves final administrative consent order

  3. FTC announces refunds of almost $21,000 to 576 consumers

Sources

  1. Regulator
  2. Regulator

    Federal Trade Commission · Jul 6, 2021

    Kushly Industries LLC, In the Matter of
  3. Regulator

Wording on this page follows the sources. Found an error? See the corrections process in our editorial policy.

Status notes

Settled in 2021 and refunds distributed in 2022. Current trading status of the business was not verified.

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