Hydroxatone Product Class Action Settlement

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A proposed class action lawsuit settlement has been reached between the companies behind the skin care product Hydroxatone and customers who claim they were duped into purchasing the products based on a “Risk Free Trial” offer that the companies didn’t honor. Consumers who purchased Hydroxatone-branded products between 2005 and 2013 may be eligible to receive a cash award or free product if the class action settlement is approved.

The Hydroxatone settlement will resolve a class action lawsuit (Susan Sabol, et al. v. Hydroxatone LLC, et al.) alleging, among other things, that defendants Hydroxatone LLC and Atlantic Coast Media Group LLC:

•  failed to adequately disclose the terms of their “Risk Free Trials” and “Auto-Shipment Programs;”
•  refused to refund customers who timely returned Hydroxatone products;
•  failed to allow consumers to timely cancel Hydroxatone Preferred-Customer BeauyAuto-Shipment Program memberships’ and failed to cease billing consumers for Hydroxatone products after they cancelled their memberships.

Defendants deny the allegations but have agreed to resolve the litigation by establishing a $3 million class action lawsuit settlement fund to refund eligible consumers, as well as provide up to $4 million in free Hydroxatone products.

Class Members of the Hydroxatone class action settlement include all U.S. residents who between January 1, 2005 and March 28, 2013 paid for, and/or were charged for Hydroxatone-branded products, and/or were charged shipping and processing fees in connection with a Risk-Free Trial and/or Auto-Shipment Program.

These Hydroxatone-branded products include, but are not limited to: Hydroxatone, Celtrixa, Hydrolyze, Declatone, Lashatone, Instant Effect, Luminique, Instant Wrinkle Filler, and Orexis.

Class Members are divided into two groups:

Group One

You are a Member of this Group if you are a Settlement Class Member who (i) tried to, attempted to, made efforts to, or took any actions designed to return Risk-Free Trial product(s) and/or Auto-Shipment Program product(s) and paid more than shipping and processing and/or return postage in connection with such product and/or received additional shipments of product for which you paid, OR (ii) cancelled and/or attempted to cancel your Auto-Shipment Program memberships but received additional shipments of product for which you paid more than shipping and processing and/or return postage.

If you are a member of Group One, you will be eligible to receive your choice of either a pro rata share of the Net Settlement Fund (the “Cash Benefit”) or a “Product Benefit.”

A “Cash Benefit” for Group One Settlement Class Members will be made to Approved Claimants in the following amounts:

•  A Claimant who spent more than $200 with Defendants after all prior refunds will be eligible to receive (subject to a pro rata reduction) $100.
•  A Claimant who spent between $100 and $200 with Defendants after all prior refunds will be eligible to receive (subject to a pro rata reduction) $75.
•  A Claimant who spent less than $100 with Defendants after all prior refunds will be eligible to receive (subject to a pro rata reduction) $40.

The Cash Benefit will be subject to a pro rata reduction if the total Approved Claims exceed the Net Settlement Fund. In the event that all Claims are paid for by the Net Settlement Fund, without any pro rata reduction, no funds will revert to Defendants.

OR

A “Product Benefit” for Group One Settlement Class Members will be made to Approved Claimants in the following manner:

A Claimant who spent more than $150 with Defendants after all prior refunds will receive their choice of one of the following products:

•  Luminique Facial Brightener 3 oz. (Retail Price $49.95)
•  Sunsoak Age-Defying Self Tanner 1 oz. (Retail Price $59.95)
•  Pore Minimizer Serum 1 oz. (Retail Price $59.95)
•  Instant Wrinkle Filler 30 Day Boxes (Retail Price $59.95)
•  Instant Effect 30 Day Boxes (Retail Price $59.95)
•  Celtrixa Stretchmark Lotion- Original Formula (Retail Price $59.95)

A Claimant who spent $150 or less with Defendants after all prior refunds will receive their choice of one of the following products:

•  Hydroxatone Anti-aging Body Lotion by Celtrixa (Retail Price $19.95)
•  Declatone Deluxe Sample for Retail 0.5 oz (Retail Price $29.95)
•  Hydroxatone Gentle Milky Cleanser 3 oz. (Retail Price $39.95)
•  Hydroxatone Age Defying Toner 3 oz. (Retail Price $39.95)
•  Keracalm (Retail Price $39.95)

If you choose the Product Benefit, shipping and processing charges will be paid for you from the Cash Fund and you will pay nothing for the products which you request (so long as there is a sufficient amount in the Cash Fund; otherwise this will be subject to pro rata reduction). Defendants reserve the right to substitute products based upon supply.

Group Two

You are a Member of this Group if you are a Settlement Class Member, but are not a member of Group One.

If you are a member of Group Two, you will be eligible to receive a Product Benefit, which will be your choice of one of the following products:

•  Hydroxatone Anti-aging Body Lotion by Celtrixa (Retail Price $19.95)
•  Declatone Deluxe Sample for Retail 0.5 oz. (Retail Price $29.95)
•  Hydroxatone Gentle Milky Cleanser 3 oz. (Retail Price $39.95)
•  Hydroxatone Age Defying Toner 3 oz. (Retail Price $39.95)
•  Keracalm (Retail Price $39.95)

If you choose the Product Benefit, shipping and processing charges will be paid for you from the Cash Fund and you will pay nothing for the products which you request (so long as there is sufficient amounts in the Cash Fund; otherwise this will be subject to a pro rata reduction). Defendants reserve the right to substitute products based upon supply.

The deadline to submit a claim for the Hydroxatone class action settlement is August 15, 2013.

Eligible claims will be paid only if and when the settlement becomes effective. A hearing is set for July 16, 2013 to determine whether or not to approve the class action lawsuit settlement.

Claim Forms and more information on your rights in the Hydroxatone Class Action Lawsuit Settlement can be found at www.HydroxatoneSettlement.com.

The case is Susan Sabol, et al. v. Hydroxatone LLC, et al., Case No. 11-cv-04586-KM-MAH, U.S. District Court for the District of New Jersey.

UPDATE:  A notice from the Settlement Administrator says: “Checks and products were mailed in early February 2014 to eligible claimants. You do not need to verify the authenticity of the check you received in this matter. Please allow 3-4 weeks for delivery.”