Oreck Sends $25 to Customers Following FTC Settlement

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If you bought a product made my Oreck on the grounds that such an item would cut down on illness or allergies, then you might soon be getting a check in the mail.

In 2009, vacuum manufacturer Dyson challenged Oreck’s assertions that their Halo vacuum and Pro Shield Plus air purifier could reduce flu and illness risk and get rid of most common allergens and germs.  Dyson brought the matter to the attention of the Better Business Bureau’s National Advertising Division, but Oreck declined a voluntary review of the items.  That’s when the Federal Trade Commission took up the case.

The FTC took Oreck to task for claims alleged to be false, and as a result, the two sides reached a settlement last year.  Under the terms of that settlement, Oreck can’t make the illness claims that were alleged to be deceptive by the FTC unless they have demonstrable scientific proof of their merit.

Perhaps more of note to consumers, Oreck agreed to pay out a $750,000 fine that will now be divvied up and sent in $25 increments to each of those customers who bought the products in question.  Oreck provided the sales records, and affected customers can expect to start receiving the checks as soon as this week.  Once the checks are in the customers’ possession, they will have 60 days to cash them.