‘Cobra Sexual Energy’ Maker Agrees to $100K Class Action Settlement

A group of California consumers are seeking approval of a $100,000 settlement that would end a lawsuit claiming Nutraceutical Corp. used false promises of increased virility for men in advertising its “Cobra Sexual Energy” supplement.

The motion, filed Oct. 23, seeks a judge’s preliminary approval that would end almost eight years of litigation. 

On behalf of the Class, plaintiff Troy Lambert had argued in his original complaint that a supplement called “Cobra Sexual Energy,” which was purchased by himself and the other Class Members, was falsely and unlawfully marketed by Nutraceutical as an aphrodisiac drug.

Lambert alleged that he and other consumers were duped into paying a premium for the product that did not work as advertised and presented a potential health hazard.

The plaintiff pointed to statements on the label, such as “powerful men’s formula” and that the Cobra Sexual Energy supplement will allow consumers to “perform [their] best with animal magnetism.” A snake with “clear phallic overtones” graces the front of the supplement bottle, further implying to consumers that the product would improve sexual ability, according to the class action lawsuit.

In addition to the mislabeling claims, the Cobra Sexual Energy class action lawsuit alleged that one of the ingredients, yohimbe extract, could cause health problems in some consumers. Lambert contended that this ingredient can contribute to high blood pressure and hypertension under the right circumstances.

The case was filed in 2013 and was granted certification in 2014 before being decertified in 2015. After wending its way through the courts — and all the way to the U.S. Supreme Court — the case was finally recertified in January 2020.  

Under the settlement, Nutraceutical would be required to make two changes to the product’s labeling that Lambert found most objectionable and misleading — namely, the use of the phrases “potency wood” and “virility” to describe the product. 

In another partial win for Lambert, Nutraceutical revised the phrasing of claims about the product’s effect: The claim that Cobra is “intended to provide … blood flow” was toned down to “thought to provide … blood flow,” according to the brief.

Attorneys who wrote the brief said they are well aware of the case’s strengths and weaknesses and that a settlement is the best way for the Class to obtain relief given the risks of further prolonging the litigation.

Under the proposed class action settlement, Nutraceutical would create a $100,000 cash settlement fund with Class Members receiving $10 for claims not documented by receipts and up to $100 for claims documented by receipts.

Notice and administrative expenses of $19,250 will be paid out of the fund, the bulk of which will be for Facebook advertising and postage for settlement checks. 

Payments to individual Class Members will be increased or reduced proportionally depending on the number of valid Class Members who participate, according to the proposed class action settlement. 

An attorney representing the Class, considers the settlement amount to be “significant” considering that the company sells a 30-count bottle of Cobra for $15.39 or less on its website.

“Thus the monetary recovery represents a large fraction of total damages alleged by Plaintiff and that Plaintiff believed could be recoverable at trial, whether examined in aggregate or compared to each individual claim,” the brief states. 

Any funds remaining after the distribution to Class Members, such as checks that are not cashed within 90 days, will be paid to the Legal Aid Foundation of Los Angeles. 

Notice to potential Class Members will be communicated primarily via Facebook, given it is the most popular medium for advertising and allows for targeted advertising, according to the brief. The notice will be targeted toward men over 40-years-old. A smaller number of Class Members who purchased Cobra directly from the company’s website will be notified by mail.

The agreement also permits the plaintiff to apply for an incentive award of $10,000 and for his counsel to seek up to $490,000 in fees and costs. 

Have you purchased a supplement only to find that the advertising claims are unsubstantiated? Perhaps you purchased Cobra Sexual Energy? Tell us about your experience in the comments below.

Top Class Actions will post updates to this class action settlement as they become available. For the latest updates, keep checking TopClassActions.com or sign up for our free newsletter. You can also receive notifications when this article is updated by using your free Top Class Actions account and clicking the “Follow Article” button at the top of the post.

The plaintiffs are represented by Ronald A. Marron and Michael Houchin of the Law Offices of Ronald A. Marron; and Gregory S. Weston of The Weston Firm.

The Cobra Sexual Energy Class Action Lawsuit Settlement Motion is Lambert v. Nutraceutical Corp., Case No.  2:13-cv-05942-AB-E, in the U.S. District Court for the Central District of California.

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