DOJ asks Utah court to dismiss FTC lawsuit against Xlear Inc.

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The Department of Justice (DOJ) has asked the United States District Court of Utah to dismiss the Federal Trade Commission’s (FTC) lawsuit against Xlear Inc. and its CEO Nathan Jones. On March 10, the DOJ and the defendant filed a stipulation to dismiss with prejudice the lawsuit in which each party agrees “to be responsible for its own costs and fees and agrees that no party shall be responsible to any other party for any fines, costs, fees, or penalties arising from this case.”

The lawsuit, originally filed by FTC on October 28, 2021 alleges that Xlear Inc. falsely claimed its saline nasal sprays were an effective way to prevent and treat COVID-19. FTC alleges these claims were made the company’s website, social media, advertisements, and through guest appearances on podcasts. The agency sent a warning letter to Xlear Inc. on July 29, 2020, but according to FTC’s complain, the company continued to make the claims. According to a press release from Xlear Inc. announcing the stipulation to dismiss, the company argues that FTC lacks statutory authority to require clinical data from nonpharmaceutical health companies, based on Loper Bright Enters. v. Raimondo.

Jones issued the following statement:

“We applaud the Department of Justice’s commonsense decision to drop this case—a case that had no merit and should never have been brought. This case has been a waste of taxpayer resources, and it has, in effect, cost American lives.

This lawsuit was part of a much wider effort by the Government to censor science, in particular science that supports alternatives to ‘Big Pharma.’ During the pandemic, the Government shuttered the marketplace of ideas—and the American people, our economy, and our sense of community suffered. Xlear refused to stand by silent, electing instead to defend science and the people’s right to know.

For going on four years, we have vigorously denied the FTC’s allegations— we steadfastly maintained that our statements about COVID were accurate and science-based. We provided the FTC scores of studies, both clinical and in vitro, that together demonstrated that the use of oral/nasal hygiene products, like Xlear nasal spray, helped to both prevent COVID infections when used by healthy people and reduce the duration and severity of sickness when used by those already infected with the virus.

Defending this case has cost Xlear over $3 million dollars—money that should have been invested in helping Americans stay healthy and growing the economy.

Our belief in the science supporting Xlear is so strong that I was initially inclined to decline the DOJ’s request to dismiss the case—we wanted our day in court. However, after near four years of censorship and legal harassment by the FTC, it is time for Xlear to fully focus on the business of helping people get and stay healthy.”