Enagic, founded in 1974, is an established water ioniser manufacturing company in Japan. Enagic’s dedication to creating high-quality goods, innovation, and the True Health concept has elevated it to the top spot among water ioniser producing systems, which are currently sold all over the world. As the business grows and expands, it opens new offices all around the world, giving people access to alkaline water that is both healthy and financially beneficial.
Enagic Is Not Immune From Lawsuits
But like with most enterprises, not everything always goes as planned. Any firm will have ups and downs. Due to some of its independent distributors making ludicrous medical claims about the health advantages of Enagic products, including the ability to cure certain ailments, Enagic has been the target of several lawsuits over the years.
Enagic decided to assert its authority and commit to taking strong penalties against independent distributors who are damaging the firm’s reputation and, more importantly, losing the company millions of dollars in litigation settlements because of these claims, which are seriously out of control.
Enagic And A Few Distributors Are Being Sued
Enagic has consistently heard concerns about distributors’ communication and promotion efforts on popular social media sites, which contain material that is incomplete in terms of openness and clarity and even attribute to Kangen water the ability to prevent, treat, or heal ailments. Additionally, these studies included the “Water Demo,” which contrasted water filtered by Enagic devices with mineral water sold by other firms, disparaging the qualities of the competing water.
A significant mineral water brand has filed a lawsuit against Enagic and a few distributors as a result of these counter-regulatory activities, which could have very serious effects on the company’s financial stability and reputation, as well as long-term effects on Enagic and the operations of all distributors.
Enagic’s Strong Message On Its Policies And Procedures
It is important to emphasise that such behaviour reflects further comparable violations of EU rules in addition to breaches of Enagic policies and procedures. To the proximate regulations of the Consumer Code, which defines unfair and deceptive practises that are likely to deceive the average consumer, misleading him or her, and distorting his or her decision-making process by appealing to the emotional realm by claiming that a product has the power to treat diseases and disorders.
In accordance with both national law and the Community Regulation (EC 1924/2006), any nutrition or health claims made about a particular product must be precise and adequately substantiated by scientific data. Due to the likelihood that such behaviour will seriously harm other water producers and violate the laws against unfair competition, as outlined in Article 2958 nn.2 and cc, this behaviour is prohibited.
Enagic Requirements Forbidding Such Actions
Business Behavior: According to Policy and Procedures Paragraph 4 and Paragraph 2.4 of the distributor agreement, the distributor is obligated to protect and defend the reputation of the company’s goods and services and to refrain from any conduct that may be detrimental to the company. The promotion of goods and services must be in the best interests of the general public and must abstain from all rude, dishonest, false, or otherwise unethical or immoral behaviour or activities.
Enagic Is Exempt From False Claims
Section 2 of the Policies and Procedures stipulates that each distributor must indemnify and hold harmless Enagic from any and all liabilities, claims, damages, or obligations resulting from the distributor’s business operations. Without prior clearance, distributors are not permitted to obligate the company in any way or make any claims about Enagic.
Advertising Accurate Information
Distributors are prohibited from promoting company goods, services, or marketing strategies unless the company has given the go-ahead in accordance with Policies and Procedures Section 7.3 and Distributor Agreement Section 3.0. The company, its goods, compensation scheme, and earning potentials are not the subject of any false, misleading, or deceptive statements made by distributors.
Trademark rights, trade names, and advertising are all covered by Policies and Procedures clause 8b, which states that as an independent contractor, the distributor is entirely responsible for any verbal or written statements he or she makes about the products, services, and/or marketing plans that are not expressly stated in writing in the current distributor agreement, or for any advertising or promotional materials given by the company.
The distributor agrees to defend the brand’s reputation and indemnify the company against any liability, including judgments, civil penalties, refunds, attorney fees, court costs, lost business, or claims brought against the corporation as a result of the distributor’s unauthorised portrayals.
Unauthorized Medical Claims
Unauthorized medical claims are not allowed. This is stated explicitly in paragraphs 3.7 of the distributor agreement and 8.i of the policies and procedures. As a precaution, all distributors are asked to delete any site content that is against the rules and procedures outlined in this notice within the next 24 hours. no later than that time.
Consequences For Unruly Independent Distributors
If these instructions are not followed, the company reserves the right to order the immediate suspension of commissions and/or termination of distributor status, as well as to take action for compensation for damages suffered, in order to protect the consumer and prevent further penalty implications against Enagic.
Enagic Independent Distributors are strongly advised to stop making false claims about Enagic products immediately. Will they comply? Lets see. Click HERE to see Enagic Policies and Procedures.