Complain about a product or service

Court Halts "Free Prescription" Claims

October 18, 2005
A federal judge has barred a Web-based business from making claims the government says were deceptive, and caused low-income consumers to waste their money.

The Federal Trade Commission obtained the court order, charging the company lured low-income consumers with no insurance into spending $199 with false claims that they would receive free prescription medication. The Court also froze the defendants’ assets to preserve them for consumer redress.

According to the FTC complaint, MyFreeMedicine.com, LLC and its principal Geoffrey Hasler, target low income consumers who spend more than $100 a month for medications. These consumers might qualify to receive free prescription medicine through one or more of the many patient assistance programs – PAPs – operated by pharmaceutical companies.

The PAPs impose varying eligibility requirements on consumers and not all drugs are available through these programs. Those that are may only be available some of the time, or in certain doses.

The defendants’ television and radio ads urge consumers who are not covered by insurance to call a toll-free number to find out if they are “eligible” to receive free prescription medications. Defendants’ sales reps routinely told consumers that they were eligible to receive free prescription medication and that their medications are available through their program.

The complaint charges sales reps also told consumers that the company deals directly with pharmaceutical companies and the federal government to obtain free prescription medications for consumers, and that the company would provide the medication directly to the consumers or to their doctors.

In fact, the FTC says, consumers did not get medications from MFM. The company simply provided them with PAP application forms that must be submitted to the pharmaceutical companies. After paying $199.95 for a six-month enrollment in defendants’ program, many consumers learned that they were not eligible to receive their prescription medications for free from a PAP, or that their prescriptions were not available from a PAP.

Contrary to claims on their Web site and in telephone conversations with consumers, the FTC charges the defendants have routinely denied requests for refunds from consumers who were not able to obtain their medications through their program.

The agency charged the defendants, based in Louisville, KY, with violations of the FTC Act. The complaint was filed in U.S. District Court for the District of Washington in Seattle. A hearing to extend the temporary ban is scheduled for October 21, 2005.

Report Your Experience
If you've had a bad experience -- or a good one -- with a consumer product or service, we'd like to hear about it. All complaints are reviewed by class action attorneys and are considered for publication on our site. Knowledge is power! Help spread the word. File your consumer report now.