Dive Summary:
- On Tuesday, the Federal Trade Commission (FTC) announced restrictions on Four Loko alcoholic beverages including requiring cans to bear an "Alcohol Facts" label and be resealable.
- The new rules stem from the FTC's lawsuit against Phusion Projects, the creator of Four Loko, for falsely claiming the 23.5-ounce beverage was safe to imbibe in one sitting and was made up of the alcoholic equivalent of one to two 12 ounce beers; Four Loko was diagnosed as being equivalent to four or five 12-ounce beers.
- Phusion is obligated to print an "Alcohol Facts" label on its Four Loko cans and must serve Four Loko with more than two and a half servings of alcohol in resealable containers; earlier this month, the FTC maintained that it does not have the power to outlaw Four Loko or force it to reduce its alcohol content.
From the article:
"The Federal Trade Commission Tuesday announced new rules for the marketing of Four Loko malt beverages, which were in hot water last year amid a wave of complaints that the drinks were dangerous and responsible for several hospitalizations and deaths.
The rules are part of a settlement won by the FTC, which sued Four Loko's creator, Phusion Projects, for wrongly claiming that a 23.5 ounce can of the drink contained the alcoholic equivalent of one or two 12-ounce beers and that it was safe to consume in one sitting. Four Loko has been determined to contain, in reality, about four or five beers' worth of alcohol. ..."