SmileDirectClub and DC Attorney General Settle Dispute
- SmileDirectClub emphasizes its commitment to transparency and customer trust. The agreement resolves the litigation and sets the record straight regarding non-disclosure agreements. The company encourages the orthodontic industry to follow its example in embracing honest reviews and feedback from consumers.
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Oral Care Innovator Leads Orthodontic Industry In Taking Further Steps to Increase Customer Transparency
NASHVILLE, Tenn., June 22, 2023 (GLOBE NEWSWIRE) -- SmileDirectClub, Inc. (NASDAQ: SDC), the oral care leader and creator of the first med tech platform for teeth straightening, announced today it has reached an agreement with the Office of District of Columbia Attorney General (AG) Brian L. Schwalb, to resolve the litigation brought by the AG’s Office against SmileDirectClub, falsely alleging that it stifled consumer reviews by requiring consumers to agree to a confidentiality clause in order to obtain a prorated refund for those customers wishing to return aligners after 30 days.
“SmileDirectClub has always believed transparency is key to building trust with its customers, and that’s why we were the first company in the teeth straightening industry to give consumers the pricing transparency and accessibility they deserve,” Chief Legal Officer, Susan Greenspon Rammelt said. “For too long there has been a misinformation campaign claiming SmileDirectClub stifles negative consumer feedback through the use of non-disclosure agreements. While we were disappointed this misinformation caused the District of Columbia to file its complaint, we are pleased to set the record straight and work with the District of Columbia’s Office of the Attorney General in its efforts to create new policy for the industry and increase customer transparency.”
SmileDirectClub does not require customers to execute a release or any form of non-disclosure before or during treatment or in order for a customer to retain a prorated refund. When a customer seeks a refund outside of the Lifetime Smile Guarantee, that form of release is modeled on a release form historically used in the industry. Given the infrequent use of the general release form (GRF) by SmileDirectClub over the years and the ongoing misinformation campaign, the Company already had plans to tailor the non-disclosure provision more narrowly in its GRF. This litigation gave the Company an opportunity to address both that campaign and the lawsuit at the same time.
“We are proud of our products and services, and customer satisfaction has been and will continue to be our North Star,” Greenspon Rammelt said. “As the District of Columbia enforces its newly developing policy to limit the use of non-disclosure provisions, even in general forms of release, across the dental industry, we encourage the rest of the orthodontic industry to follow our example as a leader in consumer transparency and embrace honest reviews and feedback from consumers in digital forums.”
SmileDirectClub was founded in 2014 with the mission of making premium oral care accessible, affordable, and convenient for everyone. The Company has helped more than two million people around the globe achieve the confidence that comes with a smile they love through its innovative telehealth platform for teeth straightening.
About SmileDirectClub
SmileDirectClub, Inc. (Nasdaq: SDC) (“SmileDirectClub”) is an oral care company and creator of the first medtech platform for teeth straightening. Through its cutting-edge telehealth technology and vertically integrated model, SmileDirectClub is revolutionizing the oral care industry. SmileDirectClub’s mission is to democratize access to a smile each and every person loves by making it affordable and convenient for everyone. SmileDirectClub is headquartered in Nashville, Tennessee, USA. For more information, please visit SmileDirectClub.com.
Media Relations:
press@smiledirectclub.com
