March 28, 2003
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FTC halts alleged misleading LASIK advertising

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WASHINGTON — The two largest LASIK providers in the United States have settled Federal Trade Commission charges of making false or misleading advertising claims, the commission reported Wednesday. This marks the first action the Federal Trade Commission has taken against LASIK providers.

According to the Federal Trade Commission (FTC), the Laser Vision Institute LLC and LCA Vision Inc. both violated Section 5 of the FTC Act by advertising unsubstantiated claims, which stated LASIK would eliminate the need for additional vision correction using spectacles or contact lenses.

The FTC’s proposed consent orders are intended to prevent the two companies from engaging in similar advertising practices in the future. Under the terms of the proposed FTC orders, both companies are barred from making such claims unless the claims can be substantiated.

According to the FTC, LCA Vision also made an unsubstantiated safety claim about LASIK services and did not substantiate its claim that its procedure eliminates the risk of glare and halos.

The FTC also indicated that the Laser Vision Institute allegedly made a false claim regarding free LASIK consultations. During an initial meeting with a Laser Vision Institute representative, the FTC said the representative would quote a price for the procedure and require patients to pay a $300 deposit before being told the surgical risks or whether they are eligible for surgery. After the initial consultation, the $300 deposit was nonrefundable if the patient decided against surgery, and only $200 was refunded to patients who elected to have surgery but who were subsequently rejected.

According to the FTC, the agreements are only for settlement purposes and do not constitute an admission by the companies of violating any law.

The FTC voted 5 to 0 to file each complaint and settlement and is accepting public comments on the proposed settlements until April 25. The FTC will then determine whether to finalize the settlement.