Amway appeals federal court decision favoring P&G

Associated Press/December 1, 2001

Grand Rapids -- After failing to convince a federal judge that Procter & Gamble Co. tried to run it out of business, Amway Corp. has appealed the ruling.

A Grand Rapids judge dismissed the case in September. The Ada-based Amway appealed to the 6th Circuit Court of Appeals in Cincinnati in November, The Grand Rapids Press reported Friday.

The case originates from a long series of disputes between Amway, a division of Alticor Inc., and Cincinnati-based Procter & Gamble.

P&G has argued in Texas and Utah courts that Amway and some of its distributors were responsible for rumors linking it to Satanism. Those cases are under appeal after trial courts dismissed virtually all of the charges made by Procter & Gamble.

In the Grand Rapids case, filed in 1998, Amway said Procter & Gamble's only motive was to drive the company out of business by saying it was the source of the Satanism rumor.

The federal judge said Procter & Gamble was protected by the First Amendment.

Amway officials say the court battles with Procter & Gamble have cost more than $30 million in legal fees and related costs.