Consumer Law Library

Motor Up Corporation, Inc.

Volume 129 · 129 F.T.C. 928

Citation
129 F.T.C. 928
Docket
D-9291
Complaint
1999-04-08
Decision
2000-05-03
Document type
consent order
Case type
consumer protection
Statutes
FTC Act (section 5)
Industry
motor vehicle products
Outcome
consent order entered
Relief
cease_and_desist; recordkeeping; compliance_reporting; notice_to_customers
Order term (years)
10
Source
Original volume PDF
Original PDF
This decision as a PDF

deceptive advertising

Cite this decision

Motor Up Corporation, Inc., 129 F.T.C. 928 (2000). Consumer Law Library, https://consumerlawlibrary.org/decisions/v129-0025

Report an error in this record (decision id v129-0025)

Order status: expired_sunset:2020-05-03. Sunset may be extended by the latest qualifying federal-court complaint alleging an order violation; complaints, dismissal/appeal outcomes, and respondent-specific extensions are not fully tracked.

Cited by 0 later FTC decisions

Cites

Text (OCR of the scan at left; may contain errors)

IN THE MATTER OF MOTOR UP CORPORATION, INC., ET AL.

CONSENT ORDER, ETC., IN REGARD TO ALLEGED VIOLATIONS OF SEC. 5 OF THE FEDERAL TRADE COMMISSION ACT Docket D-9291; File No. 9723034 Complaint, April 8, 1999--Decision, May 3, 2000 This consent order addresses representations by Respondents Motor Up Corporation, Inc., Motor Up America, Inc, and Kyle Burns, individually and as an officer of Motor Up Corporation, Inc. Regarding its products ability to improve performance over just motor oil. The order prohibits Respondent from making any engine treatment, fuel treatment, motor oil, grease, transmission fluid, or break fluid, and any additive intended to be used with or substituted for any of these products, unless they can support the claim with competent and reliable evidence. Respondent is also prohibited from misrepresenting in advertising the existence, contents, validity, results, conclusions, or interpretations of any studies on its product and its performance. In addition, Respondent is prohibited from providing false demonstrations, pictures, experiments, illustrations, or tests of an engine oil additive or similar product. Participants For the Commission: Edwin Rodriguez, Jonathan Cowen, Robert M. Frisby, Mary K. Engle, Elaine D. Kolish, Keith B. Anderson, Gerard R. Butters, and Paul A. Pautler. For the Respondents: Steven Fellman and Ira Kasdan, Galland, Kharasch, Morse & Garfinkle, and Edward Glynn, Venable, Baetjer, Howard & Civiletti.

COMPLAINT The Federal Trade Commission, having reason to believe that Motor Up Corporation, Inc. and Motor Up America, Inc., corporations, and Kyle Burns, individually and as an officer of Motor Up Corporation, Inc. ("respondents"), have violated the provisions of the Federal Trade Commission Act, and it appearing MOTOR UP CORPORATION, INC., ET AL. 929 Complaint to the Commission that this proceeding is in the public interest, alleges:

1. Respondent Motor Up Corporation, Inc. is a Pennsylvania corporation with its principal office or place of business at 1530 Chestnut Street, Philadelphia, Pennsylvania 19102. 2. Respondent Motor Up America, Inc. is a Pennsylvania corporation with its principal office or place of business at 759 Federal Highway, Suite 312, Stuart, Florida 34994. Motor Up America, Inc. is a wholly owned subsidiary of Motor Up Corporation, Inc.

3. Respondent Kyle Burns is president of Motor Up Corporation, Inc. Individually or in concert with others, he formulates, directs, or controls the policies, acts, or practices of the corporate respondents, including the acts or practices alleged in this complaint. His principal office or place of business is the same as that of Motor Up Corporation.

4. Respondents have advertised, labeled, offered for sale, sold and distributed products to the public, including Motor Up No Oil Change Engine Treatment Concentrate ("Motor Up"), a motor oil additive.

5. The acts and practices of respondents alleged in this complaint have been in or affecting commerce, as "commerce" is defined in Section 4 of the Federal Trade Commission Act. 6. Respondents have disseminated or have caused to be disseminated advertisements for Motor Up, including but not necessarily limited to the attached Exhibits A through D. These advertisements contain the following statements, demonstrations, and other visual depictions:

VOLUME 129 Complaint A. A program-length television advertisement for Motor Up, entitled "Motor Up" (Exhibit A):

(1) Host: "COMPARED TO A LEADING MOTOR OIL, MOTOR UP HAS ELEVEN TIMES THE ANTI-WEAR AGENTS, AND ARE YOU READY FOR THIS, SEVENTY TIMES MORE EXTREME PRESSURE AGENTS WHICH DRAMATICALLY REDUCE WEAR AND TEAR UNDER SEVERE CONDITIONS." (p.5) (2) "Settling/Adherence" Demonstration Host: "WATCH WHAT HAPPENS WHEN WE ADD MOTOR UP!"

[Host pours Motor Up into transparent container filled with water and at the bottom of which lies a metal plate. Motor Up settles to the bottom of the container. Host removes the metal plate. Some of the product adheres to the plate.] "IT ACTUALLY PENETRATES THE WATER.

WHILE THE OTHERS ARE STILL FLOATING THERE ON THE SURFACE... TAKE A LOOK AT THIS ... HA, MOTOR UP NOT ONLY PENETRATES THROUGH THE WATER TO THE METAL, LOOK RIGHT HERE! IT'S PHYSICALLY BONDED ITSELF TO THE METAL EVEN THROUGH THE WATER...

IT'S THIS SLIPPERY BARRIER THAT PROTECTS YOUR ENGINE PARTS FROM CORROSION DAMAGE. NO WATER CAN GET TO THE METAL SO NO CORROSION DAMAGE CAN OCCUR.

MOTOR UP CORPORATION, INC., ET AL. 931 Complaint AND IT'S THIS SAME BARRIER THAT PROTECTS YOUR ENGINE DURING COLD STARTS WHEN IT SITS OVER NIGHT AND ALL THE OIL DRAINS OFF THE PARTS..." (p. 6) (3) Host: "WE WANTED SCIENTIFIC PROOF THAT MOTOR UP REDUCES WEAR AND TEAR ON ENGINE PARTS... IN FACT, ONE STUDY HAS SHOWN THAT MOTOR UP REDUCES WEAR AND TEAR IN YOUR ENGINE BY UP TO FIFTY PERCENT ...." (p. 9) (4) Host: "MOTOR UP REDUCES WEAR AND TEAR ON YOUR ENGINE. PROLONGING ITS LIFE.. YOU'RE ACTUALLY ADDING MILES TO THE LIFE OF YOUR CAR...

ONE TREATMENT, ONE TIME, WILL STAY IN YOUR ENGINE, EVEN BETWEEN OIL CHANGES BECAUSE MOTOR UP BONDS TO THE METAL INSIDE ... IT WONT (SIC) DRAIN OUT" (p. 9) (5) Announcer: "MOTOR UP . . . REDUCE[s] WEAR AND TEAR ON ENGINE PARTS, PROTECT[s] DURING COLD START UPS AND MUCH MORE." (p. 16, repeated at pp. 24-25) (6) Announcer: "ONE TREATMENT ... ONE TIME PROTECTS YOUR ENGINE FOR UP TO 50,000 MILES ... GUARANTEED! (p. 16) VOLUME 129 Complaint (7) "Disaster Strikes: Lost Oil Pan and Oil" Demonstration Announcer: "YOU'LL WITNESS UNBELIEVABLE HOME VIDEO TO PROVE THAT MOTOR UP CAN HELP PREVENT BREAKDOWNS." (p. 2) Host: "IT'S ACTUAL HOME VIDEO THAT WAS SHOT FOR THE PRODUCERS AND WRITERS TO PREPARE FOR THIS PROGRAM. HOWEVER, IT BEST ILLUSTRATES HOW MOTOR UP CAN PROTECT YOU IF DISASTER STRIKES." (p.

19) [A car raised up on a hydraulic car lift is in an automotive garage. The oil is drained from the car and the oil pan is removed. The car is started and allowed to run. Water is then sprayed on the exposed engine parts from beneath, and the engine continues to run.] Participant: "LOOK AT THIS... THE ENGINE HAS NO OIL AND THESE GUYS CAN'T EVEN GET MOTOR UP OFF THE ENGINE PARTS BY SPRAYING IT WITH WATER... THIS ENGINE SHOULD HAVE BROKEN DOWN LONG AGO.... BUT IT'S STILL RUNNING AFTER TREATING IT WITH MOTOR UP." (p. 20) Participant: "GIVE IT ANOTHER BLAST OF WATER! IT DOESN'T GET MUCH WORSE THAN THAT ... I'D SAY THAT, THAT MOTOR UP IS CLINGING TO THE ENGINE! UNBELIEVABLE!" (p. 21) MOTOR UP CORPORATION, INC., ET AL. 933 Complaint (8) Host: "I'VE TOLD YOU HOW IT PREVENTS CORROSION IN YOUR ENGINE . . . ." (p. 29) (9) Announcer: "YOU'VE HEARD FROM THE LEADING PROFESSIONAL'S (SIC) HOW MOTOR UP . . . REDUCES WEAR AND TEAR ON ENGINE PARTS. PROTECTS DURING COLD START UPS! AND MUCH MORE." (p.

30) (10) Announcer: "UNLIKE OTHER ENGINE TREATMENTS, YOU JUST POUR MOTOR UP IN ANYTIME, AND IT WON'T DRAIN OUT.

EVEN AFTER AN OIL CHANGE." (p. 31) B. Motor Up Bottle Labeling (Exhibit B): (1) UNIQUE CHEMISTRY EXTENDS ENGINE LIFE (2) Gives your vehicle's engine deep penetrating protection against friction, wear and damage. (3) Won't wear off or drain out when you change oil. C. Brochure sent to retail distributors (Exhibit C): (1) MotorUp Cuts Adhesive Wear As Much As 90.17%.

(2) MotorUp Prolongs Engine Life.

(3) MotorUp Protects Against Wear Even Without Oil. D. Motor Up Web site on the Internet (Exhibit D): VOLUME 129 Complaint (1) Prolongs Engine Life.

(2) MotorUp . . . won't drain out even when you change the oil.

(3) Scientific Proof. Extensive product testing in the U.S. and Europe shows that MotorUp reduces friction and wear by as much as 50%.

(4) Ideal for newer eingines (sic) too! Keep your car running great and protect it from power-robbing wear and tear - the leading cause of engine repairs. 7. Through the means described in Paragraph 6, respondents have represented, expressly or by implication, that: A. Compared to motor oil alone, Motor Up: (1) Reduces engine wear;

(2) Reduces engine wear by up to 50 percent; (3) Reduces adhesive engine wear by up to 90.17 percent;

(4) Reduces engine wear during cold starts; (5) Provides more protection against engine wear in cold temperatures;

(6) Extends the duration of engine life; and (7) Helps prevent engine breakdowns; and B. Motor Up:

(1) Prevents corrosion in engines;

MOTOR UP CORPORATION, INC., ET AL. 935 Complaint (2) Will not drain out from the engine even when the oil is changed;

(3) Protects engines for up to 50,000 miles; and (4) Protects against engine wear even without motor oil.

8. Through the means described in Paragraph 6, respondents have represented, expressly or by implication, that at the time they made the representations set forth in Paragraph 7, respondents possessed and relied upon a reasonable basis that substantiated such representations.

9. In truth and in fact, at the time they made the representations set forth in Paragraph 7, respondents did not possess and rely upon a reasonable basis that substantiated such representations. Therefore, the representation set forth in Paragraph 8 was, and is, false or misleading.

10. Through the means described in Paragraph 6, respondents have represented, expressly or by implication, that tests prove that, compared to motor oil alone, Motor Up reduces engine wear by up to 50 percent.

11. In truth and in fact, tests do not prove that, compared to motor oil alone, Motor Up reduces engine wear by up to 50 percent. Therefore, the representation set forth in Paragraph 10 was, and is, false or misleading.

12. Through the means described in Paragraph 6, respondents have represented, expressly or by implication, that: VOLUME 129 Complaint A. The "settling/adherence" demonstration referred to in Paragraph 6, Subsection A.(2), proves, demonstrates or confirms that Motor Up prevents corrosion in engines; and B. The "disaster strikes" demonstration referred to in Paragraph 6, Subsection A.(7), proves, demonstrates or confirms that, compared to motor oil alone, Motor Up reduces engine wear and helps prevent engine breakdowns.

13. In truth and in fact:

A. The "settling/adherence" demonstration referred to in Paragraph 6, Subsection A.(2), does not prove, demonstrate or confirm that Motor Up prevents corrosion in engines; and B. The "disaster strikes" demonstration referred to in Paragraph 6, Subsection A.(7), does not prove, demonstrate or confirm that, compared to motor oil alone, Motor Up reduces engine wear and helps prevent engine breakdowns.

Therefore, the representations set forth in Paragraph 12 were, and are, false or misleading.

14. The acts and practices of respondents as alleged in this complaint constitute unfair or deceptive acts or practices in or affecting commerce in violation of Section 5(a) of the Federal Trade Commission Act.

MOTOR UP CORPORATION, INC., ET AL. 937 Complaint NOTICE Notice is hereby given to each of the respondents hereinbefore named that the eleventh day of May, 1999, at 10:00 o'clock A.M., or such later date as determined by an Administrative Law Judge of the Federal Trade Commission, is hereby fixed as the time and the Federal Trade Commission, 600 Pennsylvania Avenue, N.W., Washington, D.C. as the place when and where a hearing will be had before an Administrative Law Judge of the Federal Trade Commission, on the charges set forth in this complaint, at which time and place you will have the right under said Act to appear and show cause why an order should not be entered requiring you to cease and desist from the violations of law charged in the complaint.

You are notified that the opportunity is afforded you to file with the Commission an answer to this complaint on or before the twentieth (20th) day after service of it upon you. An answer in which the allegations of the complaint are contested shall contain a concise statement of the facts constituting each ground of defense; and specific admission, denial, or explanation of each fact alleged in the complaint or, if you are without knowledge thereof, a statement to that effect. Allegations of the complaint not thus answered shall be deemed to have been admitted. If you elect not to contest the allegations of fact set forth in the complaint, the answer shall consist of a statement that you admit all of the material allegations to be true. Such an answer shall constitute a waiver of hearings as to the facts alleged in the complaint, and together with the complaint will provide a record basis on which the Administrative Law Judge shall file an initial decision containing an appropriate order disposing of the proceeding. In such answer you may, however, reserve the right to submit proposed findings and conclusions and the right to appeal VOLUME 129 Complaint the initial decision to the Commission under Section 3.52 of the Commission's Rules of Practice for Adjudicative Proceedings. Failure to answer within the time above provided shall be deemed to constitute a waiver of your right to appear and contest the allegations of the complaint and shall authorize the Administrative Law Judge, without further notice to you, to find the facts to be as alleged in the complaint and to enter an initial decision containing such findings, appropriate conclusions and order.

The following is the form of order which the Commission has reason to believe should issue if the facts are found to be as alleged in the complaint. If, however, the Commission should conclude from the record facts developed in any adjudicative proceedings in this matter that the proposed order provisions as to Motor Up Corporation, Inc. and Motor Up America, Inc., corporations, and Kyle Burns, individually and as an officer of Motor Up Corporation, Inc., might be inadequate to fully protect the consuming public, the Commission may order such other relief as it finds necessary or appropriate. Moreover, the Commission has reason to believe that, if the facts are found as alleged in the complaint, it may be necessary and appropriate for the Commission to seek relief to redress injury to consumers, or other persons, partnerships or corporations, in the form of restitution and refunds for past, present, and future consumers and such other types of relief as are set forth in ' 19(b) of the Federal Trade Commission Act. The Commission will determine whether to apply to a court for such relief on the basis of the adjudicative proceedings in this matter and such other factors as are relevant to consider the necessity and appropriateness of such action.

MOTOR UP CORPORATION, INC., ET AL. 939 Complaint ORDER DEFINITIONS For purposes of this order, the following definitions shall apply:

1. "Motor Up" shall mean Motor Up No Oil Change Engine Treatment Concentrate.

2. "Competent and reliable scientific evidence" shall mean tests, analyses, research, studies, or other evidence based on the expertise of professionals in the relevant area, that has been conducted and evaluated in an objective manner by persons qualified to do so, using procedures generally accepted in the profession to yield accurate and reliable results.

3. Unless otherwise specified, "respondents" shall mean Motor Up Corporation, Inc. and Motor Up America, Inc., corporations, their successors and assigns and their officers; Kyle Burns, individually and as an officer of Motor Up Corporation, Inc.; and each of the above's agents, representatives, and employees.

4. "Commerce" shall mean as defined in Section 4 of the Federal Trade Commission Act, 15 U.S.C. ' 44. I.

IT IS ORDERED that respondents, directly or through any corporation, subsidiary, division, or other device, in connection with the labeling, advertising, promotion, offering for sale, sale, or distribution of Motor Up or any other product for use in a VOLUME 129 Complaint motor vehicle, in or affecting commerce, shall not make any representation, in any manner, expressly or by implication: A. that, compared to motor oil alone, use of such product: (1) Reduces engine wear;

(2) Reduces engine wear up to 50 percent or by any other quantity;

(3) Reduces adhesive engine wear by up to 90.17 percent or by any other quantity;

(4) Reduces engine wear during cold starts; (5) Provides more protection against engine wear in cold temperatures;

(6) Extends the duration of engine life; or (7) Helps prevent engine breakdowns; or B. that such product:

(1) Prevents corrosion in engines;

(2) Will not drain out from the engine even when the oil is changed;

(3) Protects engines for up to 50,000 miles; or (4) Protects against engine wear even without motor oil; or C. regarding the performance, benefits, efficacy, attributes, or use of such product, MOTOR UP CORPORATION, INC., ET AL. 941 Complaint unless, at the time the representation is made, respondents possess and rely upon competent and reliable evidence, which when appropriate must be competent and reliable scientific evidence, that substantiates the representation. II.

IT IS FURTHER ORDERED that respondents, directly or through any corporation, subsidiary, division, or other device, in connection with the labeling, advertising, promotion, offering for sale, sale, or distribution of Motor Up or any other product for use in a motor vehicle, in or affecting commerce, shall not misrepresent, in any manner, expressly or by implication, the existence, contents, validity, results, conclusions, or interpretations of any test or study.

III.

IT IS FURTHER ORDERED that respondents, in connection with the manufacturing, advertising, labeling, packaging, offering for sale, sale, or distribution of Motor Up or any other product, in or affecting commerce, shall not misrepresent, in any manner, expressly or by implication, that any demonstration, picture, experiment, illustration or test proves, demonstrates or confirms any material quality, feature or merit of such product, or the superiority or comparability of the product in a material respect relative to any other product.

IV.

IT IS FURTHER ORDERED that respondents Motor Up Corporation, Inc. and Motor Up America, Inc., and their successors and assigns, and respondent Kyle Burns shall, for five (5) years after the last date of dissemination of any representation VOLUME 129 Complaint covered by this order, maintain and upon request make available to the Federal Trade Commission for inspection and copying: A. All advertisements and promotional materials containing the representation;

B. All materials that were relied upon in disseminating the representation; and C. All tests, reports, studies, surveys, demonstrations, or other evidence in their possession or control that contradict, qualify, or call into question the representation, or the basis relied upon for the representation, including complaints and other communications with consumers or with governmental or consumer protection organizations. V.

IT IS FURTHER ORDERED that respondents Motor Up Corporation, Inc. and Motor Up America, Inc., and their successors and assigns, and respondent Kyle Burns shall deliver a copy of this order to all current and future principals, officers, directors, and managers, and to all current and future employees, agents, and representatives having responsibilities with respect to the subject matter of this order, and shall secure from each such person a signed and dated statement acknowledging receipt of the order. Respondents shall deliver this order to current personnel within thirty (30) days after the date of service of this order, and to future personnel within thirty (30) days after the person assumes such position or responsibilities. VI.

IT IS FURTHER ORDERED that respondents Motor Up Corporation, Inc. and Motor Up America, Inc., and their successors and assigns, shall notify the Commission at least thirty (30) days prior to any change in the corporation(s) that may affect compliance obligations arising under this order, including but not MOTOR UP CORPORATION, INC., ET AL. 943 Complaint limited to a dissolution, assignment, sale, merger, or other action that would result in the emergence of a successor corporation; the creation or dissolution of a subsidiary, parent, or affiliate that engages in any acts or practices subject to this order; the proposed filing of a bankruptcy petition; or a change in the corporate name or address. Provided, however, that, with respect to any proposed change in the corporation about which respondents learn less than thirty (30) days prior to the date such action is to take place, respondents shall notify the Commission as soon as is practicable after obtaining such knowledge. All notices required by this Part shall be sent by certified mail to the Associate Director, Division of Enforcement, Bureau of Consumer Protection, Federal Trade Commission, Washington, D.C. 20580.

VII.

IT IS FURTHER ORDERED that respondent Kyle Burns, for a period of ten (10) years after the date of issuance of this order, shall notify the Commission of the discontinuance of his current business or employment, or of his affiliation with any new business or employment. The notice shall include respondent's new business address and telephone number and a description of the nature of the business or employment and his duties and responsibilities. All notices required by this Part shall be sent by certified mail to the Associate Director, Division of Enforcement, Bureau of Consumer Protection, Federal Trade Commission, Washington, D.C. 20580.

VIII.

IT IS FURTHER ORDERED that respondents Motor Up Corporation, Inc. and Motor Up America, Inc., and their successors and assigns, and respondent Kyle Burns shall, within sixty (60) days after the date of service of this order, and at such other times as the Federal Trade Commission may require, file VOLUME 129 Complaint with the Commission a report, in writing, setting forth in detail the manner and form in which they have complied with this order. MOTOR UP CORPORATION, INC., ET AL. 945 Complaint IX.

This order will terminate twenty (20) years from the date of its issuance, or twenty (20) years from the most recent date that the United States or the Federal Trade Commission files a complaint (with or without an accompanying consent decree) in federal court alleging any violation of the order, whichever comes later; provided, however, that the filing of such a complaint will not affect the duration of:

A. Any Part in this order that terminates in less than twenty (20) years;

B. This order's application to any respondent that is not named as a defendant in such complaint; and C. This order if such complaint is filed after the order has terminated pursuant to this Part.

Provided, further, that if such complaint is dismissed or a federal court rules that the respondent did not violate any provision of the order, and the dismissal or ruling is either not appealed or upheld on appeal, then the order will terminate according to this Part as though the complaint had never been filed, except that the order will not terminate between the date such complaint is filed and the later of the deadline for appealing such dismissal or ruling and the date such dismissal or ruling is upheld on appeal. IN WITNESS WHEREOF, the Federal Trade Commission has caused its complaint to be signed by its Secretary and its official seal to be hereto affixed at Washington, D.C. this eighth day of April, 1999.

By the Commission.

VOLUME 129 Complaint Exhibits Exhibits MOTOR UP CORPORATION, INC., ET AL. 947 Complaint Exhibits "MOTOR-UP"

INFOMERCIAL SCRIPT TRANSCRIBED FINAL 3/6/96 “CONTENTS:

“A, PAID DISCLAIMER:

THE FOLLOWING PROGRAM IS A PAID ADVERTISEMENT FOR MOTOR UP BROUGHT TO YOU BY NATIONAL MEDIA CORPORATION B. TEASE:

WHAT IF YOU COULC IMPROVE THE WAY YOUN OLD POOR RUNNING ENGINE SOUNDS IN JUST MINUTES’ AND WHAT IF IT WAS SO EASY THAT OVER ONE MILLION PEOPLE. WITH CARS JUST LIKE YOURS HAD (ALREADY DONE IT' TESTIMONIAL MALE: ED SHELIG/DAUGHTER "THE VALVES QUIETED DOWN, THE SLUGGISHNESS WENT AWAY. THE HESITATION — | MEAN IT'S LIKE DRIV:!NG 4 NEW VEHICLE" MALE V.

AND WHAT IF ALL YOU HAD TO DO WAS SIMPLY POUR THIS POWERFUL PRODUCT INTO YOUR ENGINE THEN WATCH AND LISTEN TO IT TRANSFORM YOUR CARS MOTOR RIGHT BEFORE YOUR EYES! NO MORE SHAKING. KNOCKING OR HESITATION VOLUME 129 Complaint Exhibits MOTOR UP CORPORATION, INC., ET AL. 949 Complaint Exhibits | TELL YOUMY CAR SPENDS ALL AINTER SUTS.CE OM SONGTIO LOOK INTO THIS".

x MALE \V/.0.:

YOU'LL DISCOVER HOW MOTOR UP WILL MAKE YOUR OLD CAR SOUND LIKE NEW AND YOUR NEW CAR SOUND EVEN BETTER -TESTIMONIAL MALE:

"DON'T ASK ME HOW ITWORKS I|DON'TKNOW — ALL I'MTELLING YOU IS IT WORKS ... I'M NOT BEING PAID FOR THIS — ALL I'M TELLING YOU IT WORKS"

MALE V_.O.:

ALL NEXT ONMOTOR UP AMERICA C. SEGMENT #1:

C. SHOW OPEN:, “HOST WELCOMES VIEWERS TO PROGRAM FRCM GARAGE STUDIO SET ‘JIM HOWARD ON CAMERAJON SET:

HELLO EVERYBODY AND WELCOME TO MOTOR-UP AMERICA, I'M JIM HOWARD NOW, IF YOU DRIVE A CAR WITH OVER 15000 MILES ON IT IT MAY HAVE LOST IT'S PEP MAYBE IT RUNS POORLY OR HOT, "OU MIGHT HEAR A SLIGHT KNOCKING SOUND OR MAYBE YOUR CAR IS JUST PLAIN TOUGH TO START WHAT IF | TOLD YOU. !'VE GOT A PRODUCT THAT WILL IMPROVE ALL OF THOSE CONDITIONS YOU ONLY HAVE TO USE IT ONE TIME AND ITSAS EASY TO USE AS POURING YOURSELF A GLASS OF WATER BUT WAIT A MINUTE, LETS SAY YOU DRIVE A NEWER CAR, WOULDN'T IT BE GREAT IF YOU COULD KEEP IT SOUNDING JUST LIKE THE DAY YOU BOUGHT IT WELL NOWYOUCAN w VOLUME 129 Complaint Exhibits MOTOR UP CORPORATION, INC., ET AL. 951 Complaint Exhibits "LISTEN TO THAT MOTGR SHE'S FURR NG INE aA TEN NOW, SE=ORE THERE WAS LIKE 4 LITTLE MISS SOUND TO1T ACTUALLY IT SEEMS LIKE ITS GETTING QUIETER AS IT'S RUNNING THERE" * BEFORE AND AFTER RESULTS:

SPLIT SCREEN OF BEFORE/AFTERS WITH LIVE SOUNG TESTIMONIAL FEMALE: SHARON McCRACKEN "IT OVERHEATS ALL THE TIME WHEN! STOP AT A RED LIGHT IT UMM IT THE STARTS GETTING HIGHER AND WHEN i GET INA TRAFFIC JAM | GET REAL SCARED LIKE LETS MOVE, LETS MOVE! CAUSE IT GOES DOWN AS SOON AS | START DRIVING YOU KNOW SO ITS NOT DOING IT NOW HA HA" TESTIMONIAL MALE: ROBERT RUMMEL "WHAT ISTHE THE NAME 'IS MOTOR-UP iT SHOULD BE UNBELIEVABLE MOTOR-UP™ ‘JIM HOWARD ON CAMERAJON SET:

ITS NOT UNBELIEVABLE IT'S MOTOR UP AND IT WORKS THAT FAST WE PROVED IT TO THOSE PEOPLE IN LESS THAN FIVE MINUTES.. COMPARED TO A LEADING MOTOR OIL, MOTOR-UP HAS ELEVEN TIMES THE ANTI-WEAR AGENTS, AND ARE YOU READY FOR THIS, SEVENTY TIMES MORE EXTREME PRESSURE AGENTS WHICH DRAMATICALLY REDUCE WEAR AND TEAR UNDER SEVERE CONDITIONS ‘CORROSION DEMO;

NOW | WANT TO SHOW YOU WHY MOTOR UP IS THE #1 CONCENTRATE AVAILABLE TODAY ITWAS SPECIFICALLY DEVELOPED TO BE HEAVIER THAN WATER. WATER GETS INTO YOUR ENGINE THROUGH CONDENSATION AND WATER BTHE MAIN REASON FOR CORROSION ON YOUR ENGINE PARTS. (HOLDS UP PIECE OF METAL) an VOLUME 129 Complaint Exhibits MOTOR UP CORPORATION, INC., ET AL. 953 Complaint Exhibits ty) aa) Tr « THAT'S PRETTY GOOD AT LEAST OM THAT STUFF YOU PUT iN! TESTIMONIAL FEMALE: JUDITH EBERHARDT "YEAH.ITS NOT GONNA WAKE UP THE NEIGHBORS ANYMORE], HA, HA,HA" JIM HOWARD: ON CAMERA ON SET NOW, UNLIKE THESE OTHER ADDITIVES WHERE YOU HAVE TO WAIT FOR AN OIL CHANGE ... WITH MOTOR UP, YOU JUST POUR IT INAND IT WORKS INSTANTLY, IT'S LIKE A MECHANIC INA BOTTLE. MOTOR UP WORKS WITH ANY TYPE OF ENGINE GAS OR DIESEL IT WORKS WITH ALL THE TYPES CF GIL YOUR ALREADY USING iii YOUR CAR REGULAR OR SYNTHETIC’ (T EVEN WORKS iF YOUVE ALREADY TRIED ONE OF THESE ENGINE TREATMENTS NOW LOOK. ANY PROFESSIONAL WILL TELL YOU IF YOU CAN REDUCE FRICTION YOUR ENGINE WILL RUN SMOOTHER. QUIETER AND COOLER. MALE V.0.:

SO WE ASKED LEADING PROFESSIONALS TO PROVE TO US THAT "MOTOR UP" PERFORMS INSIDE YOUR ENGINE FIRST, WE ASKED THE MECHANIC OF THE YEAR TO PROVE THAT MOTOR UP WILL HELP At! ENGINE RUN COOLER1 HERE ARE THE RESULTS.. BEFORE MOTOR-UP. THE ENGINE TEMPERATURE WAS 122 DEGREES... AFTER ADDING MOTOR UP THE ENGINE TEMPERATURE DROPPED BY NINETEEN DEGREES! TESTIMONIAL MALE: ED WATSON "AND THE TEMPERATURE ACTUALLY DROPS ITS RUNNING A LOT COOLER, THE TRUCK HAS ALITTLE BIT MORE HORSEPOWER. I'M RUNNING REGULAR GAS NOW,! DON'T HAVE TO RUN HIGH TEST IN IT ANYMORE TESTIMONIAL MALE: ANTHONY ALTIER VOLUME 129 Complaint Exhibits MOTOR UP CORPORATION, INC., ET AL. 955 Complaint Exhibits FINALLY, WE WANTED SCIENTIFIC PROOF THAT MOTOR UP REDUCES WEAR AND TEAR ON ENGINE PARTS — INFACT ONE STUDY HAS SHOWN THAT MOTOR UP REDUCES WEAR AND TEAR IN YOUR ENGINE BY UP TO FIFTY PERCENT ...

JIM HOWARD: ON CAMERA, ON SET REDUCING WEAR AND TEAR, ISN'T THAT WHAT IT'S ALL ABOUT ... NOW. TAKE FOR INSTANCE THIS SNEAKER WOULDN'T IT BE GREAT IF THERE WAS A PRODUCT THAT YOU COULD PUT ON IT THAT WOULD PREVENT IT FROM WEARING OUT AND PROLONGITS LIFE |. WOULDN'T YOU WANT IT | KNOW | WOULD.

MOTOR UP REDUCES WEAR AND TEAR CN YOUr ENGINE PROLONGING ITS LIFE YOU'RE ACTUALLY ADDING MILES TO THE LIFE OF YOUR CAR ONE TREATMENT ONE TIME WILL STAY IN YOUR ENGINE, EVEN BETWEEN OIL CHANGES BECAUSE MOTOR UP BONDS TO THE METAL INSIDE . ‘IT WONT DRAIN OUT AND THERE'S ABSOLUTELY NO RISK TO USING MOTOR UP IF AN ENGINE FAILURE OCCURS IN AN ENGINE THAT'S BEEN TREATED WITH MOTOR UP FOR UP TO THREE YEARS OR 50,000 MILES WE@LL PAY FOR THE REPAIR UP TO $10.00000 JIM-HOWARD: VOICE OVER LESS FRICTION MEANS LES$ DAMAGING HEAT. A SMOOTHER, QUIETER RUNNING ENGINE AND SUPERIOR PROTECTION DURING COLD STARTS! JIM HOWARD: ON CAMERA, ON SET! WHAT WE DID NEXT GAVE COLD STARTS AN ENTIRELY NEW MEANING WE TOOK TWO IDENTICAL RUNNING ENGINES TREATED ONE WITH MOTOR UP AND THEN WE DID THE UNEXPECTED WE FROZE THEM! JIM HOWARD: IN FREEZER WITH AUDIENCE! VOLUME 129 Complaint Exhibits MOTOR UP CORPORATION, INC., ET AL. 957 Complaint Exhibits OFF CAMERA ITS TOC "THISISA TEST . THIS ISA TEST"

COLD"

TESTIMONIAL FEMALE:

"IT'S WAY TOO COLD.. WAY TO COLD!"

TESTIMONIAL MALE:

"IT WONT START..THE THING CAN'T EVEN TURN" TESTIMONIAL FEMALE:

"IT'S COAGULATED! STUCK)"

TESTIMONIAL MALE:

NO WAY"

JIM HOWARD:

ITS COAGULATED(STUCK) *GROUP LAUGHTER JIM HOWARD:

IT LOOKS LIKE THESE GUYS ARE ABOUT READY HOW ABOUT (~ KEVIN IS ITFREE? KEVIN ICEMAN:

"YES SIRITS READY TO ROLL"

JIM HOWARD:

ALL RIGHT LETS GIVE ITA SHOT THEN, WHAT WE NEED IS SOME BODY TO START THIS TESTIMONIAL MALE:

VOLUME 129 Complaint Exhibits MOTOR UP CORPORATION, INC., ET AL. 959 Complaint Exhibits JIM HOWARD:

THERE IT BS INCREDIBLE’ DO YOU BELIEVE THAT' TESTIMONIAL FEMALE:

"I'M BUYING THAT STUFF AND I'MGIVING IT TO MY WHOLE FAMILY" “JIM HOWARD:

FIRST TIME, ISN'T THAT AMAZING! DO YOU BELIEVE THIS' TESTIMONIAL FEMALE:

“| DON'T BELIEVE IT"

TESTIMONIAL MALE:

‘| JUST DON'T BELIEVE THIS' JIM HOWARD:

FROZEN INA SOLID BLOCK OF .CE' IS THAT INCREDIBLE? TESTIMONIAL MALE:

"THAT'S INCREDIBLE, | CAN'T BELIEVEIT! JIM HOWARD:

COME INHERE YOU DIDN'TBELIEVEIT YOU WERE A SKEPTIC! TESTIMONIAL MALE:

"YES, YES, NOT FROZEN INICE"

JIM HOWARD:

YOU NEVER BELIEVE ANY OF THIS STUFF' VOLUME 129 Complaint Exhibits MOTOR UP CORPORATION, INC., ET AL. 961 Complaint Exhibits JIM HOWARD:

| HAVEN'T HEARD YOU SAY ANYTHING YOU'VE BEEN SITTING HERE KEEPING YOUR HANDS WARM = WHAT DO YOU THINK ABOUT IT! TESTIMONIAL MALE:

“UNBELIEVABLE, | SAW IT WITH MY OWN EYES AND I STILL DON'T BELIEVE IT, ITS INCREDIBLE!"

WM_HOWARD:

YOU SAW IT AND YOU STILL DON'T BELIEVE !T? TESTIMONIAL MALE:

‘| STILL DON'TBELIEVE iT’ JIM HOWARD:

EVEN THOUGH ITHAPPENED RIGHT NOW' TESTIMONIAL MALE:

"NO. NO! | TELL YOU, MY CAR SPENDS ALL WINTER OUTSIDE, I'M GOING TO LOOK INTO THIS!"

JIM HOWARD: VOICE OVER THE MOTOR UP ENGINE STARTED ON THE FIRST TURN WHILE THE OTHER JUST DIED BUT! WASN'T FINISHED YET"

Jim HOWARD:

THE PRODUCER GOING TO KILL ME DRAIN THE OIL FROM THIS THING' LETS DOT! D, CTA #1: COMMERCIAL INSERT WHEN YOU WANNA GQ? DOES YOUR CAR SAY NO' VOLUME 129 Complaint Exhibits MOTOR UP CORPORATION, INC., ET AL. 963 Complaint Exhibits IF YOU HAVE A BREAKDOWN =MOTCR JF NIL FAY FOR THE COVERED REPAIR LP TO $100000 NOW THATS ENDURANCE INSURANCE ACT NOW AND RECEIVE LUBE IT UP SPRAY ... TO SOLVE ALL YOUR STUCK AND RUSTY PROBLEMS..

TAKE THE SQUEAK OUT WITH JUST ONE SPRAY AS LUBE IT UP PROTECTS METAL SURFACES IN YOUR CAR, BOAT AND ALL AROUND YOUR HOUSE HAS A LEAKY RADIATOR GOT YOU HOT... DON'T SWEATIT! WE'LL INCLUDE RESTORE RADIATOR TREATMENT JUST POUR IT IN TO LUBRICATE AND CONDITION YOUR COOLING SYSTEM PREVENT CORROSION DAMAGE AND STOP RADIATOR LEAKS WHEN THEY HAPPEN HEY. DON'TWAIT FORA LEAK AND BESTRANCED ©ET RESTORE SEAL IT $0 YOU CAN KEEP ON TRUCKEN ARE YOUR WINDSHIELD WIPERS SKIPPING. CHATTERING AND STREAKING DON'T BUY NEW ONES BECAUSE YOU ALSO GET 303 WINDSHIELD WIPER TREATMENT TO MAKE YOUR WINDSHIELD WIPERS WORK LIKE NEW AGAIN 303 RECONDITIONS HARDENING RUBBER BLADES YOU'LL SEE CLEARER INTHE RAIN, MESSY SNOW AND ICE WON'T STICK TO YOUR BLADES. AND THEY'LL LAST LONGER THIS AN EXCLUSIVE TV OFFER AND IT'S NOT AVAILABLE |N STORESI YOU MAY EXPECT TO PAY OVER 7000 DOLLARS BUT YOU WONT! YOU WONT PAY $6000 OREVENFIFTY DOLLARS YOU GET ITALL FOR THE SPECIAL INTRODUCTORY PRICE OF JUST $29.95. AND MOTOR UP COMES WITH THIS PROMISE... POUR THE ENTIRE BOTTLE INTO YOUR ENGINE —sif IT DOESN'T RUN SMOOTHER OR SOUND QUIETER JUST RETURN THE COMPLETE PACKAGE AND WE'LL REFUND THE PURCHASE PRICE VOLUME 129 Complaint Exhibits MOTOR UP CORPORATION, INC., ET AL. 965 Complaint Exhibits NOW. WHAT YOU'RE ABOUT TO SEE WAS NOT INTENDED TC BE AIRED ON NATIONAL TELEVISION IT'SACTUAL ROME VIDEO THAT WAS SHOT FOR THE PRODUCERS AND WRITERS TQ PREPARE FOR THIS PROGRAM HOWEVER, IT BEST ILLUSTRATES HOW MOTOR UP CAN PROTECT YOU IF DISASTER STRIKES JIM HOWARD: VOICE OVER LISTEN TO THE ENGINE BEFORE ADDING IWOTOR UP! COMMENTATOR OFF CAMERA #1:

NOW THIS IS THE CAR, IT JUST STARTED UP AND WERE POINTING OUT AH NOTICE, HOW THAT ENGINES LIKE KINDA TREMORING THERE AH i WOULD HAVE TC SORT OF OBJECTIVELY SAY THAT THE ENGINE IS RUNNING WELL NOT TREMBLING AS MUCH! 4S YOU SEE COMMENTATOR OFF CAMERA #2:

ITS DEFINITELY RUNNING BETTER’ COMMENTATOR OFF CAMERA #1:

THE GENTLEMEN HERE HAVE DRIVEN IT FOR ABOUT TWENTY MINUTES' TO MAKE SURE THAT THE CAR IS COMPLETELY COVERED AND SATURATED NUMBER ONE IS WERE GOING TO DRAIN THE OIL AND A COMMENTATOR OF! CAMERA #2:

THERE'S THE INSIDE OF THE ENGINE’ COMMFNTATOR OFF CAMFRA #1:

SO WHAT YOUR SEEING IS THE GUTS OF AN ENGINE RUNNING, WITH NO OIL AND NO OIL PAN NOTHING BUT MOTOR UP CLINGING TO THE METAL COMMENTATOR OFF CAMERA #2:

V 0 WI i ao VOLUME 129 Complaint Exhibits MOTOR UP CORPORATION, INC., ET AL. 967 Complaint Exhibits GIVE IT ANOTHER SLAST OF WATER ~ DDESN7T SET MUCH WORSE THAN THAT .. “D SAY THAT. THAT MOTOF JP IS CLINGING TO THE ENGINE’ UNBELIEVABLE! COMMENTATOR OFF CAMERA #2:

THESE ARE THE CONNECTING RODS, NORMALLY YOU WOULDN'T BE ABLE TO TOUCH THESE YOU'RE RUNNING WITHOUT OIL THEY START TO CEASE. THEY GET UP HOT ENOUGH TO MELT THE METAL TURN THE BEARING BLUE AND SPIT IT RIGHT OUT THE SIDE’ LOOK AT THIS WE JUST SHUT IT OFF AND I'M NOT BURNING MYSELF ON ANYTHING' JIM HOWARD: ON CAMERA, ON SET PROTECTION LIKE THAT IS WHY MO TOR w 21S THE#' ACVANCED ENGINE TREATMENT CONCENTRATE HOW YOu PROTECT YOUR S TAP TODAY Will PREVENT IT FROM HAVING PROBUEMS TOMORROW MOTOR UP CONTAINS NC KARMFUL SOLIDS LIKE PTFES AND GRAPHITE THAT CAN BUILD UP AND CLOG YOUR OIL FILTER CAUSING EXPENSIVE REPAIRS JM HOWARD: VOICE OVER NOW THROUGHOUT THE PROGRAM I'VE SHOWN YOU HOW MOTOR UP REDUCES WEAR AND TEAR AND SAVES YOU MONEY, HOW IT INCREASES HORSEPOWER AND WHY ITS BETTER THAN THE COMPETITION YOU'VE ALSC SEN AN HEARD THE IMPROVEMENTS IN AN ENGINE AFTER - DDING MOTOR UP JIM HOWARD: ON CAMERA, ON SET BUT WE WANTED TO GIVE MOTOR UP THE ULTIMATE BEFORE AND AFTER TEST SO WE WENT LOOKING FCR THE WORST RUNNING ENGINES WE COULD FIND AND YOU KNOW WERE WE FOUNDTHEM? — INA JUNKYARD" JIM HOWARD: VOICE OVER SO WE TOLD THESE GUYS MOTOR UP WOULD MAKE THEIR JUNKYARD CARS SOUND LIKE NEW AGAIN VOLUME 129 Complaint Exhibits MOTOR UP CORPORATION, INC., ET AL. 969 Complaint Exhibits TESTIMONIAL MALE: JOSEPH SIORTANT "THIS CAR SHAKES, RATTLES AND ROLLS IT SOJLONT SET OUT OF ITS OWN WAY A BICYCLE COULD BEATIT'"

“BEFORE AND AFTER: LIVE SOUND SPLIT SCREEN TESTIMONIAL MALE: JOSEPH GIORDANO "IT ACTUALLY REVS WITHOUT STALLING OUT HOLY BEEP THATS AMAZING THE CAR ALWAYS STALLS OUT EVERY TIME ! GIVE IT GAS! NOW THAT YOU PUT THAT TREATMENT IN IT'S NOT STALLING OUT NO MORE™ TESTIMONIAL MALE: ED WATS? "IT KEEPS RUNNING WHEN YOU SHUTIT OFF ITS GOT 84D BAR TIMING ANC A BAD PRE-IGNITION ENGINES OLD AND WORN CUT’ TESTIMONIAL MALE: TOM WASHER "THIS BEEP GOOD MAN _ THIS BEEP GOOD' COMMENTATOR OFF CAMERA;

WHAT ARE YOU SAYING OVER THERE? TESTIMONIAL MALE: JOSEPH GIORDANG "EVERYDAY, | GET GASSED OUT 6Y THIS CAR CARBCN. |! MEAN | ALMOST PASS OUT FROM THE SMELL AND IT DIDN'T DO IT THIS TIME!" COMMENTATOR OFF CAMERA:

WHAT HAPPENS WHEN YOU TURN IT OFF? TESTIMONIAL MALE: JOSE SH GIORDANG VOLUME 129 Complaint Exhibits MOTOR UP CORPORATION, INC., ET AL. 971 Complaint Exhibits THE RESULT '$ INCREASEDHORSEF OWES REDUCED EAR AND “Ea ON ENGINE FARTS PROTECTION DURING ZOLZ START JPS AND MUCH MORE HEY, DON'T BH EMBARRASSED BY YOUR NOISY OLUNKER MAKE :T SOUND LIKE NEWAGAIN WITH MOTOR UP GET QUICK RESULTS LIKE THIS "BEFORE AND AFTER RESULTS: "AUDIO FREQUENCY" TESTIMONIAL MALE: ED SCHELIG "NO SMOKING, NO HESITATION, IT STARTED RIGHT UP IT DRIVES LIKE A BRAND NEW CARI!"

MALE V.0.:

as 1 Sf AA touroerts add et Te ee “= MCTOR UP !S “HE NEW GENERATION SA ENGINE REATMENTS SND COVERS ONE MILLION LUCKY PESP:

ONE TREATMENT CNEIME & MILES GUARANTEED! IN FACT WHEN YOU ORDER MOTOR UP YOU'LL RECEIVE THIS 50,0¢a MILES/3 YEAR LIMITED WARRANTY CERTIFICATE IF YOU HAVEA BREAKDOWN = MOTOR UP WILL PAY FOR THE COVERED REPAIR UP TO $10,0000 NOW THATS ENDURANCE INSURANCE ACT NOW AND RECEIVELUBEITUPSPRAY TOSOLVE ALL YOUR STUCK AND RUSTY PROBLEMS TAKE THE SQUEAK OUT WITH JUST 3NE SPRAY AS LUBE IT UP PROTECTS METAL SURFACES IN YOUR CAR BOAT AN3 ALL AROUND YOUR HOUSE. HAS A LEAKY RADIATOR GCT YOU HOT DON'T SWEAT IT' WE'LL INCLUDE RESTORE RADIATOR TREATMENT JUST POUR IT INTO LUBRICATE AND CONDITION YCUR COOLING SYSTEM PREVENT DORROSION DAMAGE AND STOP RADIATOR LEAKS WHEN THEY HAPPEN VOLUME 129 Complaint Exhibits MOTOR UP CORPORATION, INC., ET AL. 973 Complaint Exhibits TESTIMONIAL MALE:

"THE CAR ACTUALLY RUNS OUT OF CHARACTER' IT REALLY RUNS' |'M REALLY AMAZED — | WISH! COULD PUT THE CAMERA !N TYE CAR AND RUN ITUP THE HILL AND SHOW YOU' ITS JUST GREAT’ TESTIMONIAL FEMALE:

IT'S CALM..ITS HAPPY, IT PURRING, CAN | KEEP THIS? JIM_HOWARD:; (INFREEZER), WELCOME BACK TC MOTOR UP AMERICA WELL 4AGAINST MY BETTER JUDGMENT BUT AT THE INSISTENCE OF THESE PEOPLE INTHE si WITH ME WE HAVE ACTUALLY DRAINED THE MOTOR OIL FROM THIS ENGINEENCASEC IN ICE NOW 4RE YOU READY JEFF JEFF OFF CAMERA:

"READY'™ TESTIMONIAL FEMALE:

"READY!"

JIM HOWARD:

ALL RIGHT TURN THE KEY ON TESTIMONIAL F :

“CONTACT! "GROUP REACTS EXHILARATION JIM HOWARD:

THERE IT IS INCREDIBLE’ VOLUME 129 Complaint Exhibits MOTOR UP CORPORATION, INC., ET AL. 975 Complaint Exhibits JIM HOWARD:

HOW ABOUT YOU MAM! TESTIMONIAL FEMALE:

"| CAN'T BELIEVE WHAT I'M SEEING RIGHT NOW' § THOUGHT IT WAS IMPOSSIBLE!"

JIM HOWARO:

THATS THE LIFE BLOOD OF YOUR ENGINE HE'S JUST DRAINED IT OFF'IN A BUCKET! THE ONLY THING PROTECTING THAT ENGINE RIGHT NOW ‘5 MOTOR UP! TESTIMONIAL MALE:

"'D PUT ITIN IN 4 SECOND © “ELL YOU THIS STUFF IS ABSOLUTELY AMAZING FIRST IT STARTS 4NO TRE OTHER DOESNT AND NOW 'T STARTS WITHOUT THE OIL JUST FASCINATING JIM HOWARD:

INCREDIBLE, FOLKS, YCU “4VE SEEN 4-ND HEARD HOW MOTOR UP INSTANTLY IMPROVE YOUR CARS PERFORMANCE YOU'VE HEARD, YOU'VE HEARD HOW IT REDUCES WEAR AND TEAR. I'VE SHOWN YOu HOW IT REDUCES FRICTION AND INCREASES YOUR HORSEPOWER I'VE TOLD YOU HOW IT PREVENTS CORROSION IN YOUR ENGINE AND BONDS WITH METAL SURFACES ALL OF WHICH WILL SAVE YOU HUNDREDS IN REPAIR BILLS AND PROTECT YOUR ENGINE SIMPLY BY POURING IT IN LOOK IF YOUR WATCHING THIS SHOW RIGHT NOW YOU PROBABLY DONT HAVE MOTOR UP INYOCUR CAR BUTHERE'S HOW YOU CAN GET IT DO YOURSELF & FAVOR BEFORE YOU START ITU MOTOR UP VOLUME 129 Complaint Exhibits MOTOR UP CORPORATION, INC., ET AL. 977 Complaint Exhibits ME OF "2 MOST MPORTAN- PROTECT IT WITH MOTOR UP CHANCES ARE YOUR VEHICLE 5 INVESTMENTS YOU'LL EVER MAn= TODAY! AND DON'T FORGET TO ASK HE SDPERATOR ABOUT THE SPECIAL HALF PRICE OFFER ONA SECOND BOTT _E OF MOTOR UP" JNLIKE OTHER ENGINE TREATMENTS YOU JUST POJR MOTOR UP IN ANYTIME AND IT WON'T DRAINOUT EVEN AFTER AN OIL CHANGE CALL THE NUMBER ON YOUR SCREEN NOW AND FOR JUST $29 95 WE'LL SEND MOTOR UP TO YOUR HOUSE MOTOR UP IS TOMORROW'S ENGINE TREATMENT YOU CAN GET TODAY"

OUR OPERATORS ARE READY TO HELP YOU" IF YOUR CAR COULC MAKE 4 PHONE CALL ITWOULD EE DIALINS RIGHT NOW! SO CRDER MOTOR UP TCDAY' TESTIMONIAL MALE: JOSE°4 SIORDANC "IF YOU GUYS COULD SHOW ME ON THIS S48 CAUSE THIS CAR RUNS LIKE BEEP | MEAY THIS CAR !S THE BIGGEST FIECE OF BEEP INTHE YARD ' DRIVE THIS CAR ALL THE TIME™ TESTIMONIAL MALE TOM SYASHER "SOUNDS A HELL OF A LOT BETTER™ TESTIMONIAL MALE: JOSEPH GIORDANC “7 SOUNDS MUCH BETTER’ THE ENGINES NOT SHAKING AND CHOKING OUT LIKE IT USUALLY DOES"

TESTIMONIAL MALE: ED WATSON "THERE'SA BIG DIFFERENCE INTHiS CAR THE MINUTE YOU PUT IT IN.IT'S SO MUCH MORE QUIETER"

TESTIMONIAL MALE: JOSEPH GIORDANO F] VOLUME 129 Complaint Exhibits MOTOR UP CORPORATION, INC., ET AL. 979 Complaint Exhibits Exhibit B VOLUME 129 Complaint Exhibits MOTOR UP CORPORATION, INC., ET AL.

Complaint Exhibits ORDER Motorl'p Motorlo Technical Specs | MotorUp Home Page MotorUp Performance Promise Satisfaction Guaranteed or your Money Back Prolongs | Increases | Requires No Not PTFE Engine Life | Horsepower Oil Change Based | Smoothes | a 2? Frequently Asked Questions KBrson Quick Facts e What Users Are Saying Fe to Order MotorUp Why spend thousands of dollars on engine repairs? Treat your engine to MotorUp now! More than one million clunkers all over the L.S, have had their performance restored by MotorUp, the ''No Oil Change'* Engine Treatment. Just one bottle of MotorUp quiets engine. noise and smoothes out rough running. There's no need to change your oil! Justadd MutorUp to your crankcase and go. After thatjust follow the manufacturer's recommended oil change schedule and you'll see an immediate improvement.

Here's how Motorl’p works.

Motorlp penetrates the metal parts in your engine - even through dirty oil. It seeks out and bonds to the metal inside your engine and won't drain out even when you change the oil.

Scientific Proof.

Extensive product testing in the U.S. and Europe shows that Motor p reduces friction wear by as much as 50%.

VOLUME 129 Decision and Order DECISION AND ORDER The Federal Trade Commission having issued its complaint charging the respondents named in the caption hereof with violation of Section 5(a) of the Federal Trade Commission Act, as amended, and the respondents having been served with a copy of that complaint, together with a notice of contemplated relief; and The respondents, their attorneys, and counsel for the Commission having thereafter executed an agreement containing a consent order, an admission by the respondents of all the jurisdictional facts set forth in the complaint, a statement that the signing of said agreement is for settlement purposes only and does not constitute an admission by respondents of facts, other than jurisdictional facts, or of violations of law as alleged in the complaint issued by the Commission.

The Secretary of the Commission having thereafter withdrawn this matter from adjudication in accordance with ' 3.25(c) of its Rules; and The Commission having considered the matter and having thereupon accepted the executed consent agreement and placed such agreement on the public record for a period of thirty (30) days, now in further conformity with the procedure prescribed in ' 3.25(f) of its Rules, the Commission hereby makes the following jurisdictional findings and enters the following order: 1. Respondent Motor Up Corporation, Inc. is a Pennsylvania corporation with its principal office or place of business at 123 South Broad Street, Philadelphia, Pennsylvania 19102. 2. Respondent Motor Up America, Inc. is a Pennsylvania corporation with its principal office or place of business at 759 Federal Highway, Suite 312, Stuart, Florida 34994. Motor Up America, Inc. is a wholly owned subsidiary of Motor Up Corporation, Inc.

MOTOR UP CORPORATION, INC., ET AL. 983 Decision and Order 3. Respondent Kyle Burns is president of Motor Up Corporation, Inc. Individually or in concert with others, he formulates, directs, or controls the policies, acts, or practices of the corporate respondents, including the acts or practices alleged in this complaint. His principal office or place of business is the same as that of Motor Up Corporation.

4. The Federal Trade Commission has jurisdiction of the subject matter of this proceeding and of the respondents, and the proceeding is in the public interest.

ORDER DEFINITIONS For purposes of this order, the following definitions shall apply:

1. "Motor Up" shall mean Motor Up No Oil Change Engine Treatment Concentrate.

2. "Competent and reliable scientific evidence" shall mean tests, analyses, research, studies, or other evidence based on the expertise of professionals in the relevant area, that has been conducted and evaluated in an objective manner by persons qualified to do so, using procedures generally accepted in the profession to yield accurate and reliable results. 3. Unless otherwise specified, "respondents" shall mean Motor Up Corporation, Inc. and Motor Up America, Inc., corporations, their successors and assigns and their officers; Kyle Burns, individually and as an officer of Motor Up Corporation, Inc.; and each of the above=s agents, representatives, and employees.

VOLUME 129 Decision and Order 4. "Commerce" shall mean as defined in Section 4 of the Federal Trade Commission Act, 15 U.S.C. ' 44. I.

IT IS ORDERED that respondents, directly or through any corporation, subsidiary, division, or other device, in connection with the labeling, advertising, promotion, offering for sale, sale, or distribution of any engine treatment, fuel treatment, motor oil, grease, transmission fluid, or brake fluid, and any additive intended for use with or as a substitute for such products, in or affecting commerce, shall not make any representation, in any manner, expressly or by implication:

A. that, compared to motor oil alone, use of such product: (1) Reduces engine wear;

(2) Reduces engine wear up to 50 percent or by any other quantity;

(3) Reduces adhesive engine wear by up to 90.17 percent or by any other quantity;

(4) Reduces engine wear during cold starts; (5) Provides more protection against engine wear in cold temperatures;

(6) Extends the duration of engine life; or (7) Helps prevent engine breakdowns; or B. that such product:

(1) Prevents corrosion in engines;

(2) Will not drain out from the engine even when the oil is changed;

(3) Protects engines for up to 50,000 miles; or (4) Protects against engine wear even without motor oil, grease, transmission fluid or brake fluid; or C. regarding the performance, benefits, efficacy, attributes, or use of such product, MOTOR UP CORPORATION, INC., ET AL. 985 Decision and Order unless, at the time the representation is made, respondents possess and rely upon competent and reliable evidence, which when appropriate must be competent and reliable scientific evidence, that substantiates the representation. II.

IT IS FURTHER ORDERED that respondents, directly or through any corporation, subsidiary, division, or other device, in connection with the labeling, advertising, promotion, offering for sale, sale, or distribution of Motor Up or any other product for use in a motor vehicle, in or affecting commerce, shall not misrepresent, in any manner, expressly or by implication, the existence, contents, validity, results, conclusions, or interpretations of any test or study.

III.

IT IS FURTHER ORDERED that respondents, in connection with the manufacturing, advertising, labeling, packaging, offering for sale, sale, or distribution of Motor Up or any other product for use in a motor vehicle, in or affecting commerce, shall not misrepresent, in any manner, expressly or by implication, that any demonstration, picture, experiment, illustration or test proves, demonstrates or confirms any material quality, feature or merit of such product, or the superiority or comparability of the product in a material respect relative to any other product. IV.

IT IS FURTHER ORDERED that respondents Motor Up Corporation, Inc. and Motor Up America, Inc., and their successors and assigns, and respondent Kyle Burns shall, for five (5) years after the last date of dissemination of any representation VOLUME 129 Decision and Order covered by this order, maintain and upon request make available to the Federal Trade Commission for inspection and copying: A. All advertisements and promotional materials containing the representation;

B. All materials that were relied upon in disseminating the representation; and C. All tests, reports, studies, surveys, demonstrations, or other evidence in their possession or control that contradict, qualify, or call into question the representation, or the basis relied upon for the representation, including complaints and other communications with consumers or with governmental or consumer protection organizations. V.

IT IS FURTHER ORDERED that respondents Motor Up Corporation, Inc. and Motor Up America, Inc., and their successors and assigns, and respondent Kyle Burns shall deliver a copy of this order to all current and future principals, officers, directors, and managers, and to all current and future employees, agents, and representatives having responsibilities with respect to the subject matter of this order, and shall secure from each such person a signed and dated statement acknowledging receipt of the order. Respondents shall deliver this order to current personnel within thirty (30) days after the date of service of this order, and to future personnel within thirty (30) days after the person assumes such position or responsibilities. MOTOR UP CORPORATION, INC., ET AL. 987 Decision and Order VI.

IT IS FURTHER ORDERED that respondents Motor Up Corporation, Inc. and Motor Up America, Inc., and their successors and assigns, shall notify the Commission at least thirty (30) days prior to any change in the corporation(s) that may affect compliance obligations arising under this order, including but not limited to a dissolution, assignment, sale, merger, or other action that would result in the emergence of a successor corporation; the creation or dissolution of a subsidiary, parent, or affiliate that engages in any acts or practices subject to this order; the proposed filing of a bankruptcy petition; or a change in the corporate name or address. Provided, however, that, with respect to any proposed change in the corporation about which respondents learn less than thirty (30) days prior to the date such action is to take place, respondents shall notify the Commission as soon as is practicable after obtaining such knowledge. All notices required by this Part shall be sent by certified mail to the Associate Director, Division of Enforcement, Bureau of Consumer Protection, Federal Trade Commission, Washington, D.C. 20580.

VII.

IT IS FURTHER ORDERED that respondent Kyle Burns, for a period of ten (10) years after the date of issuance of this order, shall notify the Commission of the discontinuance of his current business or employment, or of his affiliation with any new business or employment. The notice shall include respondent's new business address and telephone number and a description of the nature of the business or employment and his duties and responsibilities. All notices required by this Part shall be sent by certified mail to the Associate Director, Division of Enforcement, Bureau of Consumer Protection, Federal Trade Commission, Washington, D.C. 20580.

VOLUME 129 Decision and Order MOTOR UP CORPORATION, INC., ET AL. 989 Decision and Order VIII.

IT IS FURTHER ORDERED that respondents Motor Up Corporation, Inc. and Motor Up America, Inc., and their successors and assigns, and respondent Kyle Burns shall, within sixty (60) days after the date of service of this order, and at such other times as the Federal Trade Commission may require, file with the Commission a report, in writing, setting forth in detail the manner and form in which they have complied with this order. IX.

This order will terminate on May 3, 2020, or twenty (20) years from the most recent date that the United States or the Federal Trade Commission files a complaint (with or without an accompanying consent decree) in federal court alleging any violation of the order, whichever comes later; provided, however, that the filing of such a complaint will not affect the duration of: A. Any Part in this order that terminates in less than twenty (20) years;

B. This order's application to any respondent that is not named as a defendant in such complaint; and C. This order if such complaint is filed after the order has terminated pursuant to this Part.

Provided, further, that if such complaint is dismissed or a federal court rules that the respondent did not violate any provision of the order, and the dismissal or ruling is either not appealed or upheld on appeal, then the order will terminate according to this Part as though the complaint had never been filed, except that the order will not terminate between the date such complaint is filed and the VOLUME 129 Analysis to Aid Public Comment later of the deadline for appealing such dismissal or ruling and the date such dismissal or ruling is upheld on appeal. By the Commission.

Analysis of Proposed Consent Order to Aid Public Comment The Federal Trade Commission has accepted, subject to final approval, an agreement to a proposed consent order from Motor Up Corporation, Inc, Motor Up America, Inc., and Kyle Burns, the principal who controls these corporations (referred to collectively as AMotor Up@). The agreement would settle a complaint by the Federal Trade Commission that Motor Up engaged in unfair or deceptive acts or practices in violation of Section 5(a) of the Federal Trade Commission Act. The proposed consent order has been placed on the public record for thirty (30) days for reception of comments by interested persons. Comments received during this period will become part of the public record. After thirty (30) days, the Commission will again review the agreement and the comments received and will decide whether it should withdraw from the agreement or make final the agreement's proposed order.

This matter concerns representations made about Motor Up No Oil Change Engine Treatment Concentrate, an engine oil additive, in advertising. The administrative complaint alleged that Motor Up violated the FTC Act by disseminating ads that made unsubstantiated performance claims about the oil additive. The Complaint alleged that the respondents represented that, compared to motor oil alone, Motor Up: (1) reduces engine wear; (2) reduces engine wear by up to 50 percent; (3) reduces adhesive engine wear by up to 90.17 percent; (4) reduces engine wear during cold starts; (5) provides more protection against engine MOTOR UP CORPORATION, INC., ET AL. 991 Analysis to Aid Public Comment wear in cold temperatures (6) extends the duration of engine life; and (7) helps prevent engine breakdowns. The Complaint also alleged that respondents represented that Motor Up: (1) prevents corrosion in engines; (2) will not drain out from the engine even when the oil is changed; (3) protects engines for up to 50,000 miles; and (4) protects against engine wear even without motor oil. The Complaint alleged that respondents represented that they had a reasonable basis for making these claims, but in fact did not possess competent evidence supporting the claims. The Complaint alleged that respondents claimed that tests prove that, compared to motor oil alone, Motor Up reduces engine wear by up to 50 percent without possessing tests that prove the claim. The Complaint also alleged that respondents represented that product demonstrations in their advertising proved, demonstrated, or confirmed that Motor Up prevents corrosion in engines and that, compared to motor oil alone, Motor Up helps prevent breakdowns and reduces engine wear, when in fact the demonstrations do not prove, demonstrate, or confirm these product attributes.

The proposed consent order contains provisions designed to prevent Motor Up from engaging in similar acts and practices in the future. Part I of the proposed consent order prohibits Motor Up from making any claims about any engine treatment, fuel treatment, motor oil, grease, transmission fluid, or brake fluid, and any additive intended for use with or as a substitute for these products, unless Motor Up can support the claims with competent and reliable evidence. Part I specifies certain specific claims and states that these and all other claims must be supported by evidence. It also states that the evidence required to support claims may be competent and reliable scientific evidence. VOLUME 129 Analysis to Aid Public Comment Parts II prohibits Motor Up from misrepresenting in advertising the existence, contents, validity, results, conclusions, or interpretations of any test or study dealing with the Motor Up engine oil additive or any other motor vehicle product. Part III prohibits Motor Up from using false demonstrations. It prohibits Motor Up from representing that any demonstration, picture, experiment, illustration or test of the Motor Up engine oil additive or any other motor vehicle product proves, demonstrates or confirms the product's attributes unless the demonstration, picture, experiment, illustration or tests does in fact prove, demonstrate, or confirm the attributes. This provision applies to all demonstrations of product attributes, including comparisons with other products.

The proposed order also contains provisions regarding distribution of the order, record-keeping, notification of changes in corporate status, termination of the order, and the filing of a compliance report.

The purpose of this analysis is to facilitate public comment on the proposed order, and it is not intended to constitute an official interpretation of the agreement and the proposed order or to modify their terms in any way.

DURA LUBE CORPORATION, ET AL. 993 Complaint

← 129 F.T.C. 903 · 129 F.T.C. 993 →