2 firms spar on health products
At issue are two Utah companies at odds with each other over who owns the recipe for a particular liquid health supplement.
In court documents filed this month, Neways International of Springville is claiming its former supplier, Advantage Marketing, sold Neways formula for Maximol to competitor Synergy Worldwide, a wholly owned subsidiary of Provo-based Nature's Sunshine, another health supplement company.
On Wednesday, Advantage filed a counterclaim accusing Neways of doing the same thing. Advantage claims in its filing that it is the owner of rights to produce the liquid health supplement.
Currently, both Neways and Synergy are selling the product in the Japanese market.
Advantage does admit that the two formulas "are identical but denies that (Neways) has any right to either formula," according to the newly filed court documents.
Because Advantage developed the recipe, the company contends it owns the rights to the recipe, not Neways.
"The "wish list" provided to (Advantage) was not confidential information," states the Advantage court filing. According to Advantage, the ingredients were "generally known in the industry."
In the filing, Advantage claims Neways took the recipe when it decided to produce the supplement on its own. Following the Neways decision, Advantage looked for other product customers. Advantage and Synergy then struck a deal to produce the SyneMax supplement.
Dickson Burton, an attorney with the law firm of TraskBritt P.C., which represents Advantage, said Neways' claims are "without merit."
He said Advantage intends to defend itself vigorously against "all the claims that have been made by Neways."
Neways spokesman Ben Jolley said that the trade secrets belong to Neways and were used in another product sold to Synergy.
Maximol is one of Neways' top products with sales amounting to "millions of dollars per year" in Japan, Jolly said.
Jolley said millions of dollars per month are at stake in Japan. In order not to lose their market share, Neways filed claims of false advertising, trade infringement and unfair competition.
Now the company is waiting for the court processes to continue and a court date to be set.
Officials at Advantage marketing could not be reached for comment. Officials at Synergy Worldwide declined to comment on the issue.
Contributing: Laura Warner
E-mail: jburke@desnews.com
Comments
- Trial begins in Hilton contract 12:57 p.m.
- Clippers sign No. 1 pick Griffin 12:50 p.m.
- MLB fans feel priced out at ballpark 12:48 p.m.
- GM sale cleared 12:47 p.m.
- House passes food stamps bill 12:33 p.m.
- Utah man to serve 4 years for fraud 12:26 p.m.
- U.S. to launch $15B food initiative 12:06 p.m.
- Violence hits Iraq 12:04 p.m.
- What's it worth? 11:53 a.m.
- Pistons pick Kuester as new coach 11:26 a.m.
- Blazers may offer Millsap a contract
- Utah's top 10: Wealth of recreation
- MWC, WAC rushed into BCS
- O'Connor unhappy Fes not with team
- Teen injured in fall from waterfall
- River flow marks birth of sanctuary
- Keeping golf light on the wallet
- Fatigued Jazz no match for Pacers
- Murder charge filed in shooting
- Jazz payroll is $3.1 million over tax
- Letters: Palin mistreated
134 - Teachers struggle with district cuts
133 - Bronco collecting a galaxy of recruits
132 - 'Tea party' protesters unhappy
107 - Fairness of BCS debated
81 - Stadium of Fire lights up the 4th
78 - Blazers may offer Millsap a contract
76 - Chaffetz eyes challenging Bennett
72 - Millsap not franchise player
70 - Services bids farewell to Jackson
70
As more and more dads are put out of work in this economy, I've been...
The night was balmy though buggy at SPOC, the Stansbury Park Observatory...
Seems to me that the economy, health care, etc have gotten plenty of notice....
WOW!! Seeing the lack of diplomacy and maturity in these blogs, as well as...
Oh, I'm sorry, I guess I should have been more specific. I was not talking...
Oh my. Government destroys our health care system and now people want them to...
As a Democrat, I hope that Chaffetz challenges Bennett so that all of Utah...
The Taliban are very bad and clearly training terrorists. That's why we...
It was Woodland when my grandfather was born there, and that was a long time...
The only explanation needed will be the empty green seats and the dramatic...
I'd rather look at wind turbines than breathe polluted air caused by the...
Conservatives oppose Food Stamps, is that what they mean by "family values"...


You can be the first to comment on this story.