Judgment Date:
06/21/2023
Settlement reported to AG:
Case Name:
Environmental Research Center, Inc. v. Genius Gourmet, Inc.
Court Name:
Alameda County Superior Court
Plaintiff:
Environmental Research Center, Inc.
Defendant:
Genius Gourmet, Inc.
Bariatrix US, Inc.
Bariatrix Nutrition Corp.
Injunctive Relief:
3.1 Beginning on the Effective Date, Genius Gourmet shall be permanently enjoined
from manufacturing for sale in the State of California, “Distributing into the State of
California,” or directly selling in the State of California, any Covered Product that
exposes a person to a “Daily Lead Exposure Level” of more than 0.5 micrograms of
lead per day and/or “Daily Mercury Exposure Level” of more than 0.3 micrograms of
mercury per day unless it meets the warning requirements under Section 3.2.
*Non-Contingent Civil Penalty:
$ 20,000.00
Attorney(s) Fees and Costs:
$ 30,041.00
Payment in Lieu of Penalty:
$ 14,959.00 (Amounts rounded. Actual Amounts: Civil Penalty: $20,000; Atty Fees &
Costs: $30,040.54; ASP: $14,959.46) 4.4 $14,959.46 shall be distributed to ERC as
an Additional Settlement Payment (“ASP”), pursuant to California Code of
Regulations, title 11, sections 3203, subdivision (d) and 3204. ERC will utilize the ASP
for activities that address the same public harm as allegedly caused by Defendant in
this matter. These activities are detailed below and support ERC’s overarching goal of
reducing and/or eliminating hazardous and toxic chemicals in dietary supplement
products in California. ERC’s activities have had, and will continue to have, a direct
and primary effect within the State of California because California consumers will be
benefitted by the reduction and/or elimination of exposure to lead and/or mercury in
dietary supplements and/or by providing clear and reasonable warnings to California
consumers prior to ingestion of the products. Based on a review of past years’ actual
budgets, ERC is providing the following list of activities ERC engages in to protect
California consumers through Proposition 65 citizen enforcement, along with a
breakdown of how ASP funds will be utilized to facilitate those activities: (1)
ENFORCEMENT (up to 65-80%): obtaining, shipping, analyzing, and testing dietary
supplement products that may contain lead and/or mercury and are sold to California
consumers. This work includes continued monitoring and enforcement of past consent
judgments and settlements to ensure companies are in compliance with their
obligations thereunder, with a specific focus on those judgments and settlements
concerning lead and/or mercury. This work also includes investigation of new
companies that ERC does not obtain any recovery through settlement or judgment;
(2) VOLUNTARY COMPLIANCE PROGRAM (up to 10-20%): maintaining ERC’s
Voluntary Compliance Program by acquiring products from companies, developing
and maintaining a case file, testing products from these companies, providing the test
results and supporting documentation to the companies, and offering guidance in
warning or implementing a self-testing program for lead and/or mercury in dietary
supplement products; and (3) “GOT LEAD” PROGRAM (up to 5%): maintaining ERC’s
“Got Lead?” Program which reduces the numbers of contaminated products that
reach California consumers by providing access to free testing for lead in dietary
supplement products (Products submitted to the program are screened for ingredients
which are suspected to be contaminated, and then may be purchased by ERC,
3
catalogued, sent to a qualified laboratory for testing, and the results shared with the
consumer that submitted the product). ERC shall be fully accountable in that it will
maintain adequate records to document and will be able to demonstrate how the ASP
funds will be spent and can assure that the funds are being spent only for the proper,
designated purposes described in this Consent Judgment. ERC shall provide the
Attorney General, within thirty days of any request, copies of documentation
demonstrating how such funds have been spent.)
Total Payments:
$ 65,000.00
Is Judgment Pursuant to Settlement?
Contact Organization:
Environmental Research Center
Address:
3111 Camino Del Rio North, Suite 400
City, State, Zip:
San Diego, CA 92108
Phone Number:
(619) 500-3090