Hearing aid manufacturer pays civil penalty - Beltone Electronics Corp., disciplined for false and unsubstantiated advertising claims, pays $825,000 fine - Brief Article

FDA Consumer, April, 1995

One of the largest U.S. hearing aid manufacturers recently agreed to pay the Federal Trade Commission $825,000 in response to FTC charges of false and unsubstantiated advertising claims for two models. FDA also regulates hearing aids because they are medical devices.

FTC challenged claims made by Beltone Electronics Corporation, Chicago, for the Clear Voice and Voice Enhancer hearing aids, including claims that the latter device employs new technological developments. The advertising violates a 1976 FTC order against the firm, FTC alleged.

Beltone agreed to pay the civil penalty under a consent decree filed Dec. 20, 1994, by the U.S. Department of Justice at FTC's request. Consent decrees have the force of law when signed by the judge.

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Under the decree, Beltone would:

* not misrepresent the ability of its hearing aids to focus on speech in noisy situations

* provide scientific evidence to support any future similar claims

* give refunds to dealers whose customers have returned Beltone hearing aids after a trial period

* use its best efforts to ensure that its retailers comply with their warranty and refund terms

* make advertising disclosures to help consumers understand the limits on hearing aid benefits, including this statement in most print ads: "Benefits of hearing aids vary by type and degree of hearing loss, noise environment, accuracy of hearing evaluation and proper fit."

For the most part, FTC says, hearing aids address the problem of hearing sounds, but not the problem of distinguishing specific sounds, such as words, from background noise. Even with a properly fit hearing aid, a person with hearing loss will not understand speech as well as someone with normal hearing.

A free FTC brochure, Hearing Aids, offers purchasing tips. Free copies may be ordered from FTC's Public Reference Branch, Room 130, 6th St. and Pennsylvania Ave., N.W., Washington, DC; telephone (202) 326-2222; TTY for the hearing impaired (202) 326-2502.