The Washington state Court of Appeals has upheld a lower court ruling that 5-Hour Energy violated Washsington's Consumer Protection Act by engaging in false advertising.
Washington claimed Living Essentials, the company behind 5-Hour Energy, misled consumers by running ads saying the energy shot was superior to coffee because of the way its ingredients interacted with caffeine, something the state said was not backed by scientific evidence.
The ads also implied that doctors recommended the product, which the state said was deceptive. In 2016, the state won its case in King County Superior Court. The company appealed and in an opinion issued March 18, the Washington appeals court sided with the state.
Washington Attorney General Bob Ferguson said the purpose of the state’s Consumer Protection Act is to make sure people are treated fairly in the marketplace.
"In other words, consumers should know what product they’re purchasing and be aware of what’s true and what’s false," Ferguson said. "You can’t deceive consumers."
The company also must pay about $2 million to the state. Last year, sales of 5-Hour Energy in the United States amounted to about $205 million.