The Federal Trade Commission (FTC) has initiated legal action against Mercury Marketing, LLC, and several other entities. The complaint alleges that these organizations engaged in deceptive advertising practices by impersonating substance use disorder treatment clinics through Google search ads. This misrepresentation reportedly led consumers seeking specific clinics to be redirected to clinics operated by the defendants.
Christopher Mufarrige, Director of the FTC’s Bureau of Consumer Protection, stated, “These defendants took advantage of consumers searching online for substance use disorder treatment services during one of the most difficult times in their lives. The FTC will not hesitate to take action to stop such underhanded and illegal conduct.”
The lawsuit filed in federal court lists Mercury Marketing, LLC; Behavioral Healthcare Group of America, LLC; JLux Consulting, LLC; Malibu Detox, LLC; Malibu Recovery Center, LLC; Aliya Health Group, LLC; Fennaside, LLC; JHEL Holding, LLC as corporate defendants. Additionally, four individuals are named: Christopher LiVolsi, Dennis Rinker, Robby Stempler, and Jennifer Russ.
According to the FTC's allegations:
- Defendants used Google search ads to prominently display names of specific clinics while rerouting calls to a defendant-operated call center.
- Telemarketers posed as representatives from searched-for clinics or centralized admissions offices.
- These telemarketers falsely claimed that clinical recommendations for Malibu Detox or Malibu Recovery were based on an objective assessment when they were actually promoting defendant clinics.
The FTC claims that these tactics deterred many consumers from accessing their intended treatment facilities.
The actions described allegedly breach the FTC Act and the Opioid Addiction Recovery Fraud Prevention Act along with violating the Commission’s Impersonation Rule. The FTC seeks a court order to permanently prohibit these practices and impose civil penalties on those involved.
A unanimous 3-0 vote by the Commission authorized staff to file this complaint in the U.S. District Court for the District of Maryland. Handling this case are Elizabeth Sanger, Stacy Cammarano, Robert Van Someren Greve, and Tiffany Woo from the FTC’s Bureau of Consumer Protection.
The Federal Trade Commission is dedicated to fostering competition and safeguarding consumer interests. They provide resources at consumer.ftc.gov and allow reports on fraudulent activities at ReportFraud.ftc.gov.
