Due to the fact that Activia doesn’t keep things moving as much as originally advertised by Dannon, the Company will have to relinquish $21 million to settle allegations presented by 39 states, claiming that Dannon had illegally advertised its Activia yogurt as being able to help regulate "sluggish digestive systems."

Bob Lipson, the Washington state Assistant Attorney General, stated that Dannon fabricated "fancy names" for the bacteria in its Activia yogurt products, and marketed them as having "unique health benefits."

The “fancy names” that were trademarked in Dannon commercials are "Bifudus Regularis" and "L. casei Immunitas."

The Federal Trade Commission also announced a settlement with Dannon with the same concerns that did not require a payment. The attorneys general said some studies have shown that people with "sluggish digestive systems" who consumed three servings of Activia per day had a "modest benefit."

The issue here is that New York-based Dannon had marketed the yogurt to all consumers. It also claimed that eating just one daily serving of Activia for two weeks straight would improve digestion, and it allegedly advertised its "DanActive" drink as providing "immunity" that can prevent a cold or flu. The Company allegedly lacked adequate clinical proof to support that claim.

As the largest settlement payment on record with a food manufacturer, Washington is expected to be rewarded $425,000 of the payment.

In the settlement, Dannon denied the allegations but agreed to marketing restrictions. The Company can no longer claim its Activia and DanActive products prevent, treat, cure or mitigate disease, and must have "reliable scientific evidence" to support any other health claims about its probiotic foods.

News Source: Seattle PI