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The Federal Commerce Fee hit Razer with a $1.1 million wonderful Tuesday. The order claims that the gaming accent maker misled customers by claiming that its flashy Zephyr masks was licensed as N95-grade.
“These companies falsely claimed, within the midst of a worldwide pandemic, that their face masks was the equal of an N95 licensed respirator,” FTC Bureau of Client Projection Director Samuel Levine famous in a press release. “The FTC will proceed to carry accountable companies that use false and unsubstantiated claims to focus on customers who’re making selections about their well being and security.”
Razer has predictably pushed again towards the fee’s claims.
“We disagree with the FTC’s allegations and didn’t admit to any wrongdoing as a part of the settlement,” a consultant from the corporate mentioned in a press release to TechCrunch. “It was by no means our intention to mislead anybody, and we selected to settle this matter to keep away from the distraction and disruption of litigation and proceed our concentrate on creating nice merchandise for avid gamers. Razer cares deeply about our group and is all the time trying to ship know-how in new and related methods.”
The corporate went on to recommend that the criticism was cherrypicked, including that it went out of its technique to refund prospects and finish gross sales of the Zephyr.
“The Razer Zephyr was conceived to supply a special and revolutionary face overlaying possibility for the group,” it notes. “The FTC’s claims towards Razer involved restricted parts of a few of the statements referring to the Zephyr. Greater than two years in the past, Razer proactively notified prospects that the Zephyr was not a N95 masks, stopped gross sales, and refunded prospects.”
The FTC can also be formally barring gross sales of the masks and “making COVID-related well being misrepresentations or unsubstantiated well being claims about protecting well being gear.” It goes a step additional, “prohibit[ing] the defendants from representing the well being advantages, efficiency, efficacy, security, or unwanted side effects of protecting items and companies (as outlined within the proposed order), until they’ve competent and dependable scientific proof to help the claims made.”
The submitting means that Razer deliberately deceived customers into believing that the $100 masks would shield towards COVID. Actually the virus was very a lot prime of thoughts when the product first dropped in October 2021.
The order is at present awaiting approval and signature from a District Courtroom decide.
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