The company behind the quite famous Lumosity app will have to shell out $2 million in order to settle a deceptive advertising charge that was brought against them by the Federal Trade Commission of the United States.
The FTC statement says that the app advertised that it could help consumers of the app help perform better at work, school, tests and also help keep cognitive impairment by age or disease at bay.It also claimed that the game could help people suffering from conditions like dementia and Alzheimer’s disease, and also help improve the cognitive damage as a result of conditions like stroke, brain injury, ADHD, PTSD and more.
The FTC statement says that the app preyed on consumer’s fears about age related cognitive decline and impairment, and even improve in brain related conditions like Alzheimer’s and dementia. All these claims were unfounded and did not have any scientific stats or findings to back them up.
The app is available on the Apple App Store and has more than 50 games aimed at improving cognition and memory. They claim the games to have been developed in close coordination with scientists and game designers. The membership access fees are also available with lifetime membership costing $300.
The adverts of the game running on all advertising platforms like TV, internet, radio, and social media claimed that only 10-15 minutes of the games could help in achieving full potential in every aspect of life. They also claimed falsely that they could help in improving health conditions in various diseases.
Lumos Labs have to do away with $2 million of their money in addition to a notification to all its customers that the app has faced this FTC action. They also have to give a way for users to unsubscribe from the app’s membership and services.