Exclusive Content:

The crucial role of an accountant in strengthening business...

The Essential Role of a Proficient and Trusted...

EY’s 2024 Guide to Global Capital and Fixed Assets

Understanding Worldwide Capital Expenditures and Tax Relief: A...

Business Briefs for July 12, 2024 – Greenfield Recorder

Jeremy Payson Named CFO and Treasurer of Greenfield...

Seattle plastic surgery provider fined $5M for posting fake positive reviews

Seattle plastic surgery provider fined M for posting fake positive reviews

Seattle Plastic Surgery Provider Ordered to Pay $5 Million for Fake Reviews and Threats

Seattle Plastic Surgery Provider to Pay $5 Million for Fake Reviews and Threats

A Seattle-area plastic surgery provider, Allure Esthetic, has been ordered to pay $5 million to the state attorney general’s office and thousands of Washington patients for posting fake positive reviews and threatening patients over negative ones. The federal consent decree, filed on Monday, resolves a lawsuit brought by Attorney General Bob Ferguson in December 2022.

The lawsuit accused Allure Esthetic and owner Dr. Javad Sajan of violating state and federal consumer protection laws by posting false reviews and forcing patients to sign nondisclosure agreements (NDAs) preventing them from posting anything negative about the clinic. The resolution requires Allure to pay about $1.5 million in restitution to approximately 21,000 people, with each affected individual receiving either $50 or $120 depending on their circumstances.

Attorney General Ferguson stated, “Writing a truthful review about a business should not subject you to threats or intimidation. This resolution holds Allure accountable for brazenly violating that trust — and the law — and ensures the clinic stops its harmful conduct.”

Allure Esthetic’s attorney, Erin M. O’Leary, mentioned that the decision to settle was not easy but the company is pleased to have resolved the case. The company, which operates under various names including Alderwood Surgical Center and Gallery of Cosmetic Surgery, provides surgical and nonsurgical services such as plastic and cosmetic procedures.

The lawsuit also accused Allure of rigging “best doctor” competitions, keeping rebates intended for patients, and altering before-and-after photos of procedures. The clinic threatened to sue patients who posted negative reviews and even offered cash and free services in exchange for removing them. Additionally, more than 10,000 patients were reportedly required to sign NDAs before receiving treatment.

As part of the resolution, Allure must hire a third-party forensic accounting firm to audit its consumer rebate program and comply with the terms of the consent decree for the next 10 years. Violations could result in civil penalties of up to $125,000 per violation.

The case serves as a reminder of the importance of honest reviews and consumer trust in the healthcare industry.

Latest

The crucial role of an accountant in strengthening business resilience

The Essential Role of a Proficient and Trusted...

EY’s 2024 Guide to Global Capital and Fixed Assets

Understanding Worldwide Capital Expenditures and Tax Relief: A...

Business Briefs for July 12, 2024 – Greenfield Recorder

Jeremy Payson Named CFO and Treasurer of Greenfield...

Dufendach Hired as Greenwell Retires from KSI

Jim Greenwell Retires from Kent-Sussex Industries After a...

Newsletter

Don't miss

HKA expands forensic accounting and commercial damages practice with three new experts

HKA Welcomes Three Experts to Forensic Accounting and...

Delta Air Lines CEO Challenges the Economic Tactics of Budget Airlines

Delta Air Lines CEO Critiques Low-Cost Carriers Amid...

Dufendach Hired as Greenwell Retires from KSI

Jim Greenwell Retires from Kent-Sussex Industries After a Distinguished Career Jim Greenwell, the Vice President of Finance and Technology at Kent-Sussex Industries (KSI), is...

Civil Servant Stood Alone in Questioning Post Office’s Legal...

Board Member Highlights Lone Concerns Over Post Office Litigation Strategy Amidst High Court Battle Whistleblower Reveals Lone Battle Against Post Office's £100m Court Strategy In...

Davies Appoints New Chief Financial Officer

It appears you've shared the HTML content of a webpage, specifically focusing on the head section and part of the body where the...