FTC – Exaggeration In Describing Your Product Is Deceiving

Thursday, June 10, 2010, AM | 3 Comments

When you build or renovate your home, insulation is one of the first things that comes to mind. Of course, to save energy in winter and summer as well. Many companies manufacture the product. One such company is known as Working Chemical Solutions (WCS). Now we all know that insulation is chemical laden and insulation cannot have its characteristics without some chemical additives. That’s one reason when installing it you need something to cover your nose. Inhaling insulation can be detrimental to your health especially for folks who have asthma.

Now in advertisement, many vendors exaggerate and some exaggerate more than others. Sometimes FTC and other government agencies look the other way especially SEC is known to have developed that habit. It just so happens that luck or lack of it play a big part in it. When a Federal agency looks the other way, you are then considered lucky or are you? Perhaps not.

One thing to remember when you buy insulation is what’s in the industry known as its R-Value. The higher the R-value, the greater a product’s insulating power and probably higher price as well. So depending on your finances, you should go with higher R-Value.

The law says…

Home insulation manufacturers must provide R-value information based on the results of standard tests. Using the required R-value information, consumers can improve the energy efficiency of their homes by buying the appropriate amount of insulation for their needs. Misleading advertising about R-values hurts consumers’ ability to make informed purchasing decisions.

Misleading advertisement

FTC says Working Chemical Solutions and its president, Robert C. Smith, violated the FTC Act which didn’t like the way the company was promoting its product and the company wronged itself in two ways:

  1. The culprit that FTC objected to is called PolyCell Chemical Additive [whatever that means – f****** chemistry]. It’s a product that supposedly increases the effectiveness of insulation, and the insulation product to which it is added.
  2. The complaint also alleges that they violated the agency’s R-value Rule because they did not possess test results to back up the claims they made.

What was so bad in the company’s advertisement

Standard and the more common R-Value is R-4 per inch. Working Chemical Solutions advertised its product with at least R-7.1 per inch, and up to R-8 per inch. The company allegedly overstated the effectiveness of PolyCell Chemical Additive and the insulation to which it was subsequently added. The problem got multiplied many times over when WCS started selling the additive to other companies with the same claim.

FTC took action

WCS agreed to stop exaggerating the capabilities of their product as part of a settlement with the Federal Trade Commission. It bars them from misrepresenting the capabilities of their cellulose insulation additive or any insulation to which it has been applied.

In a Nutshell
Hopefully, by the time you need to buy insulation for your dwelling, every company has corrected its advertisement. In the meantime, if you see insulation that has been labeled to have R-7.1 per inch or up to R-8 per inch, just ignore it. Don’t buy it thinking that it will give you more heat and more “cool” to your house. FTC says it does not. So who you gonna believe? Of course, FTC the “DustBusters”.

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  1. 3 Responses to “FTC – Exaggeration In Describing Your Product Is Deceiving”

  2. By veterinary technician on Jun 10, 2010, 1:40 am | Reply

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  3. By financial aid for college on Jun 15, 2010, 1:32 am | Reply

    What a great resource!

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