FTC Fines Razer $1.1M Over Falsely Advertising Its N95 Zephyr Mask

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FTC Fines Razer $1.1M Over Falsely Advertising Its N95 Zephyr Mask
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The Federal Trade Commission (FTC) has just released its proposed settlement in the case of the U.S. Department of Justice (DOJ) versus Razer over the gaming firm falsely advertising its Zephyr smart masks as “N95-grade.”

The settlement, which Razer has accepted, totals over $1.1 million in refunds and fines and must be paid within seven days of the order.

According to FTC’s proposed settlement, Razer has to send $1,071,254.33 to the U.S. Treasurer, which will in turn fully refund customers who bought the Zephyr face masks.

An additional $100,000 will act as a civil penalty.

“It was never our intention to mislead anyone, and we chose to settle this matter to avoid the distraction and disruption of litigation and continue our focus on creating great products for gamers,” a Razer spokesperson told Channel News Asia.

Misrepresentation of ‘N95-Grade’ Filters

Released in October 2021, the Zephyr mask quickly became a trend among gamers, with a base price of $99.99.

Sold online in a limited supply, calling them “drops,” only made the face mask more desirable.

In January 2022, it even released the Zephyr Pro with a voice amplification feature, selling it at a starting price of $149.99.

However, the DOJ asserted in its complaint, which the FTC upheld, that Razer’s claims of the masks being “N95-grade" that will protect wearers from COVID-19 was unsubstantiated.

“These businesses falsely claimed, in the midst of a global pandemic, that their face mask was the equivalent of an N95 certified respirator,” said Samuel Levine, director of the FTC’s Bureau of Consumer Protection.

The Zephyr mask was not approved by the National Institute for Occupational Safety & Health (NIOSH), which created and upheld the standards for N95 masks, nor did Razer submit its face mask for testing or certification.

“Razer only stopped the false advertising following negative press coverage and consumer outrage at the deceptive claims,” the FTC stated.

“The FTC will continue to hold accountable businesses that use false and unsubstantiated claims to target consumers who are making decisions about their health and safety,” Levine promised.

READ NEXT: The FTC Bans Most Non-Compete Contracts in the U.S.

 
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