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Sunday, May 5, 2024

Federal judge enjoins Orlando company from alleged price-gouging with 3M masks

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3M mask | Pixabay

A federal judge has granted a temporary restraining order against an Orlando company that was allegedly selling counterfeit medical masks at elevated prices.

3M sued Geftico in the Middle District of Florida Orlando Division for attempting to sell its N-95 masks to the federal government’s Division of Strategic National Stockpile, according to a press release.

“Defendant and all persons acting on behalf of Defendant are hereby IMMEDIATELY ENJOINED from holding themselves out to consumers and/or the public as authorized distributors or vendors of 3M-brand products, or holding themselves out as having any affiliation, connection, or association with 3M in any way,” wrote U.S. District Judge Carlos Mendoza in his April 30, order. “Defendant and all persons acting on behalf of Defendant are hereby IMMEDIATELY ENJOINED from falsely representing that 3M has increased the prices of 3M-brand N95 respirators as a result of the COVID-19 crisis or that 3M has required or authorized others to increase the prices of 3M-brand N95 respirators as a result of the COVID-19 crisis. Defendant and all persons acting on behalf of Defendant are hereby IMMEDIATELY ENJOINED from offering to sell any of 3M’s products at a price and/or in an unfair or deceptive manner.”

The lawsuit further alleges that the defendant blamed elevated prices on 3M, claiming that the company had changed prices “several times” in just a few days when, in actuality, 3M had not changed the prices it charged for respirators.

“The damage suffered by Plaintiff is exacerbated by the fact that Defendant is advertising and offering for sale 3M-branded N95 respirator masks at inflated prices during a global pandemic when Plaintiff’s products are necessary to protect public health,” wrote 3M’s attorney Joseph M. Wasserkrug in the April 14 complaint. “Such conduct has inspired intense public criticism of the manner in which Plaintiff’s respirator masks are being distributed and sold during the COVID-19 pandemic and significant confusion about Plaintiff’s role in the marketplace for masks that are essential to safeguarding public health.” 

3M has filed similar lawsuits against Performance Supply in New York Southern District Court and Rx2Live in the California Eastern District Court.

“We stand ready to continue to investigate and take necessary legal actions against such unethical and unscrupulous actors in the marketplace,” said Ivan Fong, 3M senior vice president, general counsel & secretary. 

A hearing on 3M's motion for preliminary injunction is set for May 7 at 1:30 p.m. in Courtroom 5B, George C. Young United States Courthouse Annex, 401 W. Central Boulevard in Orlando.

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