Power Balance in MAJOR legal trouble

[Mike0476]

http://www.tmz.com/2011/11/21/power-balance-bracelets-lawsuit/#.TsqJnvLNmCc

Power Balance -- the company that allegedly duped athletes into believing its bracelets could provide super-human strength -- is about to take a $57 million dollar hit in a lawsuit filed by people who called BS on the product ... TMZ has learned.

As we previously reported, a class action suit was filed in federal court in L.A. back in January ... alleging consumers were duped into believing the hologram-embedded band was scientifically proven to enhance balance, flexibility and strength. There was just one small problem -- there was never any hard evidence to back those claims.

Now, sources with direct knowledge of the situation tell TMZ ... the company has reached a settlement worth $57.4 million, intended to compensate all those who were misled into buying the product.

And it gets worse for PB -- we're told the company will be declaring bankruptcy and plans to fold up shop altogether.

The Power Balance bracelets CRUSHED IT when they first appeared on the scene a few years ago -- with superstars like Drew Brees and Shaq vouching for the product.

Turns out ... size, strength and talent can't be sold in stores.

 

[Capt. Factorial]

Turns out ... size, strength and talent can't be sold in stores.

Neither can the ability to identify good naming rights partners.

Kings sale in...10...9...8...?

 

[Warhawk]

I'll start the Burkle chant if nobody else will.

 

[pdxKingsFan]

I don't understand why stupid people should get their money back for being obviously stupid. I'm about as pro-consumer as it gets but buying these stupid bracelets is so obviously a scam you deserve to lose triple whatever you paid for them if you believe their "benefits" are anything but psychsomatic. It's just a fashion statement and they weren't that expensive anyways.

 

[LWP777]

I don't understand why stupid people should get their money back for being obviously stupid. I'm about as pro-consumer as it gets but buying these stupid bracelets is so obviously a scam you deserve to lose triple whatever you paid for them if you believe their "benefits" are anything but psychsomatic. It's just a fashion statement and they weren't that expensive anyways.

Agreed! I'm actually glad this is happening because I always thought Power Balance was a RIDICULOUS and EMBARRASSING name for our arena!!

 

[Mike0476]

I don't understand why stupid people should get their money back for being obviously stupid. I'm about as pro-consumer as it gets but buying these stupid bracelets is so obviously a scam you deserve to lose triple whatever you paid for them if you believe their "benefits" are anything but psychsomatic. It's just a fashion statement and they weren't that expensive anyways.

There is another scam going on right now and it's that documentary. If you thought Tony Peric was bad, you have not seen anything yet.

The truth will come out soon.

 

[nebs]

So does this mean the Arena won't be called Power Balance now? Starting when? I still refer to the arena as Arco anyway.

 

[Fear the Putin]

shocker

just get ARCO back for crying out loud...even if they pay you in hamburgers

 

[Larry David]

What? Power Blance isn't in great shape? Man, what a shocker!!!

The Maloofs knew the risks, but need every penny so they took the deal hoping that PB could pay the bills until: (1) they were in Anaheim and dumped the arena back on the city; and/or (2) sold the team after the new CBA.

And once again the Maloofs misplayed this risk. On the Rise Guys in the Spring, Rovelle said PB was a major risk because if the place changes names again, the value of the naming rights goes down really fast. If people say, "Oh, what's the name now" you're less likely to get a good sponsor.

 

[pdxKingsFan]

I still don't think anybody was going to sign a naming rights deal for an Arena that is on its last legs and PB was the best they could get.

 

[Elektrik]

Wow! Those maloof boys just cant get anything right anymore. I think many of us were duped because of their initial charisma but, they keep proving time and again that they just make a habit of making bad decisions. Selling the beer distributorship, the drunk driving, the rising of ticket prices, the loss of ownership in the palms and now choosing power Balance as the arenas name. Typical of the greed that permeates throughout our society. How the mighty have fallen. They run for the quickest buck without
any regrets about the pieces they leave behind. Hey Joe and Gavin, what goes around comes around, and we all know the only way you are going to save your sorry butts is to sell the Kings. Why wait any longer? Just do it. Im done with you jokers.

 

[ArcoKings]

I still don't think anybody was going to sign a naming rights deal for an Arena that is on its last legs and PB was the best they could get.

^ This.

 

[Kingster]

I don't understand why stupid people should get their money back for being obviously stupid. I'm about as pro-consumer as it gets but buying these stupid bracelets is so obviously a scam you deserve to lose triple whatever you paid for them if you believe their "benefits" are anything but psychsomatic. It's just a fashion statement and they weren't that expensive anyways.

Agreed. You might as well believe a rock can be a "pet", or maybe just be as stupid as a rock.

 

[kennadog]

I don't understand why stupid people should get their money back for being obviously stupid. I'm about as pro-consumer as it gets but buying these stupid bracelets is so obviously a scam you deserve to lose triple whatever you paid for them if you believe their "benefits" are anything but psychsomatic. It's just a fashion statement and they weren't that expensive anyways.

What's strange to me is that these bracelets should be picked out in a lawsuit, considering how many other scams there are out there of products claiming to have medical value. How about copper or magnetic bracelets among thousands of other such scams?

 

[pdxKingsFan]

What's strange to me is that these bracelets should be picked out in a lawsuit, considering how many other scams there are out there of products claiming to have medical value. How about copper or magnetic bracelets among thousands of other such scams?

There was another brand at Costco I saw the other day. My son pointed at them and said "Wow, cool!".

 

[Capt. Factorial]

There was another brand at Costco I saw the other day. My son pointed at them and said "Wow, cool!".

Well, magic healing bracelets are best bought in bulk.

 

[Fear the Putin]

Wow! Those maloof boys just cant get anything right anymore. I think many of us were duped because of their initial charisma but, they keep proving time and again that they just make a habit of making bad decisions. Selling the beer distributorship, the drunk driving, the rising of ticket prices, the loss of ownership in the palms and now choosing power Balance as the arenas name. Typical of the greed that permeates throughout our society. How the mighty have fallen. They run for the quickest buck without
any regrets about the pieces they leave behind. Hey Joe and Gavin, what goes around comes around, and we all know the only way you are going to save your sorry butts is to sell the Kings. Why wait any longer? Just do it. Im done with you jokers.

I always saw them to be more awkward rather than charismatic

 

[Löwenherz]

Well, magic healing bracelets are best bought in bulk.

This is the best line I've read in weeks

 

[Larry David]

What's strange to me is that these bracelets should be picked out in a lawsuit, considering how many other scams there are out there of products claiming to have medical value. How about copper or magnetic bracelets among thousands of other such scams?

The difference is the false advertising.

If you buy crap, and they don't make any crazy claims. Your loss.

If you buy crap, and they make carefully worded and legal crazy claims. Your loss.

If you sell crap and aren't careful with what you say in the media and knowingly let your reps make unlawful representations, you better expect a lawsuit.

If you are going to sell snake oil, laywer up early, not late.

I think the Kings took PB's money knowing they could pay for at least 12 months and they were going to drop the arena in Sacramento's lap on the way to Anaheim because it's basically underwater unless anybody plans on using it for another 10-15 years without another arena in town. At which point, why would they care if PB can pay.

At this point, the best case for the Maloofs is to get a new CBA that boosts the value of the Kings, get a good new arena deal here in two, wait 6-12 months after the new CBA and then put the team on the market. Nobody can run an NBA team as their primary business. Even more so with a 75 million dollar loan on top of you. They don't want to sell, but at some point, their shallow pockets combined with the arena and Anahiem mess will be too much for a lot of fan. It took longer than expected, but they will have "flipped" the Kings.

 

[SacTownKid]

Friend of mine bought one about a year or two ago and I didn't think much of it, I thought they were promoting it as some type of balance device based on it's weight or something. Then I read the description and just marveled at how somebody even thought they could convince people that some type of holographic sticker gave people power or balance.

 

[BMiller52]

Friend of mine bought one about a year or two ago and I didn't think much of it, I thought they were promoting it as some type of balance device based on it's weight or something. Then I read the description and just marveled at how somebody even thought they could convince people that some type of holographic sticker gave people power or balance.

I bought one from this place in the mall and it was a different brand than power balance but it actually works. I was as skeptical as all of you guys and think power balance is probably a joke but some of the stuff is legit.

 

[uolj]

I bought one from this place in the mall and it was a different brand than power balance but it actually works. I was as skeptical as all of you guys and think power balance is probably a joke but some of the stuff is legit.

Those things feel like they work, but the bracelets themselves aren't actually doing anything. It's all basically mind tricks. You get the same effects if you switch out the bracelet with a fake without telling anyone.

 

[BMiller52]

Those things feel like they work, but the bracelets themselves aren't actually doing anything. It's all basically mind tricks. You get the same effects if you switch out the bracelet with a fake without telling anyone.

No I don't really think that. I mean dude, I was as big of a skeptic as you. I was actually standing on an injured hip when they tested my balance. It freaking worked. I don't know about the rest but this particular brand worked.

 

[uolj]

Yeah, that's what usually happens, and I'm sure you really felt the difference, but I'm pretty sure it wasn't anything in the bracelet that did it.

 

[mac]

No I don't really think that. I mean dude, I was as big of a skeptic as you. I was actually standing on an injured hip when they tested my balance. It freaking worked. I don't know about the rest but this particular brand worked.

Placebo effect?

 

[Livinthedream]

Placebo effect?

Yes.

 

[Capt. Factorial]

No I don't really think that. I mean dude, I was as big of a skeptic as you. I was actually standing on an injured hip when they tested my balance. It freaking worked. I don't know about the rest but this particular brand worked.

 

[Vlade4GM]

And yet hokum like reflexology, acupuncture, chiropractic, homeopathy, and many others go on unscathed.

 

[Bricklayer]

I think I would have thrown out the lawsuit on account of the people bringing it having to be too stupid to have rights.

I actually got in an argument once with somebody about his magic plastic bracelet. I mean good lord people. School is good.

Note the video posted by Cap Fact BTW. In a way its a more sophisticated scam than you might think, involving an understanding of physics in its presentation, but then of course it kind of had to be in order to get people to buy magic bracelets.

 

[Fear the Putin]