Appellants sell products containing Ganoderma lucidum (reishi mushroom), an ingredient renowned for its numerous health benefits – their coffee product being no exception.

Plaintiff alleges he purchased and consumed coffee due to representations made by defendants regarding its purported health benefits, and suffered damages due to their failure to warn of Ganoderma lucidum’s potential side effects.

1. It’s a pyramid scheme

Pyramid schemes are fraudulent business models in which participants pay money up a hierarchical pay structure in exchange for products or services from those higher up, until eventually it collapses and most investments are lost. Organo Gold was one such scheme where participants paid to join then earned income by selling product and recruiting others into it; but, according to allegations by the Federal Trade Commission (FTC), this information wasn’t made clear enough and led them into legal disputes against it.

According to the complaint, the Defendants misrepresented that their coffee was infused with Ganoderma Lucidum mushrooms sourced from China. According to their claims, Ganoderma Lucidum can provide numerous health benefits, including weight loss, decreased cholesterol and anxiety levels and an increase in energy. Unfortunately, no scientific evidence backs these assertions up; additionally, neither do the plaintiff’s medical records support these assertions that their products are safe or effective.

The defendants are a multilevel marketing company that sells coffee, tea and hot chocolate. According to its website, its coffee is made using organic fair trade coffee beans that have been combined with premium ingredients from a special blend, while additionally they sell Ganoderma Lucidum-derived supplements and personal care items.

Organo Gold’s cofounder told CBS Denver in an interview that his motivations for starting Organo Gold stemmed from his faith in the therapeutic properties of Ganoderma lucidum mushrooms, including consumption for millennia in Asia as an adaptogen (substance that helps the body cope with different forms of stress) as an influence. According to their marketing materials, Ganoderma lucidum may assist with weight loss, anxiety reduction, cholesterol reduction and fatigue relief.

Federal Trade Commission (FTC) officials believe the misrepresentations by Defendants about their products and their potential health benefits is the reason behind 55 complaints against the company in its short life span, according to an FTC spokesman. Investigators are currently determining if Defendants are operating a pyramid scheme or making false promises of how much money distributors can earn through joining as distributors.

2. It’s not registered

Organo Gold Company specializes in coffee and tea products infused with Ganoderma lucidum mushrooms, an adaptogenic variety. According to their claims, these adaptogenic mushrooms help boost energy levels, improve mood, and offer other health benefits. They also sell supplements and personal care items formulated using Ganoderma lucidum mushrooms. Based out of Ferndale, Washington with over 50 offices worldwide founded by Bernardo Chua and Shane Morand.

While the company does have some positive reviews, many are still wary of its claims. Many individuals have accused it of operating as a pyramid scheme and dodging taxes; it has also been accused of changing ingredients without telling customers or meeting GDPR requirements on its website.

Organo Gold makes starting off easy – all it takes to join is registering as a member and earning commissions by selling its products, attending training sessions or hosting tasting events – this can build your network while expanding your earning potential!

Organo Gold products can be promoted via blogging and social media; however, you must realize it requires time and effort for their success. Although these are premium quality items, they won’t make you rich overnight; to see profits you must invest in your business and attend training sessions regularly.

Apart from selling coffee and tea, the company also sells herbal supplements and personal care items. Their products contain ganoderma lucidum – a red reishi mushroom used in traditional Asian medicine for centuries – which may provide various health benefits such as relieving stress and anxiety as well as providing numerous other advantages.

Users of the company websites can post reviews, comments and pictures; submit suggestions and questions; cancel orders at any point in time to avoid scams; as well as submit suggestions and questions to ensure an optimal customer experience.

3. It’s not safe

Organo Gold Coffee Scam is a multi-level marketing company offering beverages which claim to be healthier alternatives to regular coffee, using an ingredient called Ganoderma that’s said to improve immunity while offering other health benefits. They offer blended green tea products containing Ganoderma as well as Ganoderma-infused lattes blends.

Product is sold by independent distributors who purchase it wholesale from the company and then resell it directly to customers for commission and bonus payments based on recruit sales. Company founder Bernardo Chua has extensive experience working in network marketing as well as several other pyramid schemes.

Consumers claiming serious complications after drinking coffee from one company were involved in one lawsuit alleging negligence on behalf of that same company for failing to disclose how much ganoderma existed within it contributed to his injuries and required resuscitation and transfusions; including low hemoglobin levels and platelet dysfunction that required emergency resuscitation procedures and multiple transfusions; they claimed negligence played a part in their injuries as well.

Even with these allegations, the court dismissed the claim. They determined that the plaintiff failed to establish actual causation and could not demonstrate how being warned about risks related to ganoderma-containing products would have altered his decision to purchase or consume them. Furthermore, they determined that company actions weren’t protected under fraudulent misrepresentation law and instead it committed negligent labeling and failure to warn.

4. It’s not effective

People tend to think of coffee in terms of its rich aroma and fresh roast, but many consumers may be unaware that it contains an extremely potent mushroom called Ganoderma Lucidum – considered sacred healing medicine by ancient civilizations, believed to help relieve stress and increase energy.

Organo Gold Company was established by veteran network marketer Bernardo Chua in 2008, offering gourmet coffee with golden reishi mushrooms for maximum taste and aroma. Their product offerings span coffee, tea, supplements and personal care items with distributor compensation plans designed to reward their efforts while building teams; some distributors earn as little as several hundred dollars monthly while others have built six-figure businesses with them.

Plaintiff alleges he purchased and consumed Organo Gold’s coffee after hearing representations by defendants concerning its purported health benefits of Ganoderma lucidum. As a result, he claims he developed low hemoglobin and international normalized ratio (INR) counts, prompting doctors to perform blood transfusion and surgery procedures; their doctors determined the source of his complications was due to drinking the coffee without being warned of its risks.

Defendants in this matter maintain that the consumer failed to meet the requisite standard for his state law claims of negligence and negligent labeling, asserting that these were preempted by the Nutrition Labeling and Education Act, which expressly preempts requirements that aren’t identical with FDA regulations for labeling purposes.

Furthermore, the defendants claimed that the consumer did not present sufficient facts to demonstrate that a warning would have made him refrain from drinking the coffee. Furthermore, they noted that no proof had been presented showing either that he acted intentionally or that defendants knew of his injuries to make a claim for punitive damages.

The court found against the defendants, finding them liable to Rodney Tow, bankruptcy trustee for AmeriSciences, for trade secret misappropriation, tortious interference with contracts and unjust enrichment. Furthermore, Cocheu and Gallardo were held liable to AmeriSciences distributors as they encouraged them to join Organo Gold while using their distribution lists in their own business endeavors.