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Feds drop case against Utah company for 'deceptively' promoting medical treatment

Xlear President Chad Slaughter points out machinery during a tour of the production line at Xlear, Inc. in American Fork on Wednesday, April 16, 2025.
Bethany Baker
/
The Salt Lake Tribune
Xlear President Chad Slaughter points out machinery during a tour of the production line at Xlear, Inc. in American Fork on Wednesday, April 16, 2025.

Utah manufacturer Xlear says the truth prevailed, while a former federal regulator fears “this administration is going to stop policing deceptive ads.”

Nate Jones says he was almost ashamed to see a 2020 study from the University of Tennessee that showed nasal sprays made with xylitol — a sugar alcohol found in plants — block the virus that causes COVID-19 from attaching to cells.

The study’s finding that xylitol showed “antiviral activity” was proof, Jones thought, that such nasal sprays could prevent and help treat COVID-19. Jones, founder and CEO of the Utah-based company Xlear, had been selling sprays with xylitol to soothe dry or irritated noses for 20 years. He was confident in his product’s antibacterial abilities.

“Shame on me and the company,” he said, “for never having thought to look at viruses.”

Another study, co-authored by a researcher at Utah State University, found the ingredients in Xlear significantly reduced the viral load of the coronavirus. Both studies made Jones feel confident that Xlear could help fight COVID-19.

So the company started saying so in social media posts, online videos and other ads.

The problem — at least in the eyes of the federal government — was that the studies did not conclusively prove what Xlear claimed they proved. The Tennessee study was conducted on monkey cells, not on people. The second study was not peer-reviewed and studied cells in lab glassware, not in humans.

The studies did not substantiate Xlear’s claims, the government contended in a lawsuit filed in 2021, arguing that meant Xlear was deceptively marketing its products and and misleading consumers about having evidence to support its claims.

The Federal Trade Commission, working with attorneys from the Department of Justice and the U.S. Attorney’s Office for Utah, and the company fought vigorously in court for nearly four years. But the government abruptly asked last month to dismiss the case with prejudice, meaning it cannot be refiled.

Read the full report at sltrib.com.

This article is published through the Utah News Collaborative, a partnership of news organizations in Utah that aims to inform readers across the state.