Late-night television has long been filled with commercials and infomercials promoting products with the familiar “As Seen On TV” stamp. However, a group of inventors is now accusing two family-owned companies, Telebrands and Ontel, of profiting from their original ideas by allegedly copying their inventions. This ongoing battle over intellectual property rights has led to a storm of lawsuits spanning nearly three decades.
Telebrands, led by Ajit Khubani (also known as A.J. Khubani), and Ontel, helmed by Chuck and Amar Khubani, both sell consumer products using the “As Seen On TV” logo.
One inventor, Juliette Fassett, shared her experience with her creation called “Flippy,” a three-dimensional soft tablet stand for various devices. Fassett invested her own funds and efforts into developing “Flippy,” which eventually gained a patent and became popular. In just 13 minutes, Fassett sold half a million dollars worth of “Flippy” products on QVC in November 2018.
However, Fassett’s success was short-lived. When she approached a major retailer, she was shocked to receive rejection. Shortly after, she discovered a knock-off version of “Flippy” being promoted on late-night cable TV, complete with the “As Seen On TV” logo.
Fassett expressed her frustration, stating, “When I discovered who it was, I was like, that’s just wrong.” CBS News uncovered nearly 100 lawsuits against Telebrands and Ontel over the past three decades, all alleging infringement on intellectual property rights. In a 2008 lawsuit, Telebrands was characterized as “scam artists” with a history of stealing others’ ideas. Another lawsuit referred to A.J. Khubani as the “infamous knock-off king of the infomercial industry.” While many of these cases have been settled, inventors like Fassett still feel robbed of their creations.
Another inventor, Josh Malone, faced a similar ordeal with his invention called “Bunch O Balloons,” a gadget that allowed rapid filling and sealing of water balloons. Despite successfully raising funds through Kickstarter and securing a mass production deal, Malone’s joy turned to despair when he discovered a lookalike product called “Balloon Bonanza” being marketed by Telebrands.
Malone alleges that Telebrands closely monitored his Kickstarter campaign, ordered his product, and beat him to market. “Unbeknownst to me, I actually shipped one of my first editions of Bunch O Balloons to a Telebrands representative. And they immediately turned around, sent it to their factories in China and said, ‘Give us a million of these in blue,'” Malone revealed. Fortunately, Malone had the resources to litigate, thanks to his partnership with a major distributor. After a four-and-a-half-year legal battle, a jury ruled in Malone’s favor, with a judge declaring Telebrands not only liable but willful in their infringement. The judge awarded $31 million in damages and attorney’s fees.
Telebrands and Ontel were reached out to for comment, but only Telebrands responded through legal representation, asserting their commitment to respecting intellectual property rights and addressing any claims of infringement. They also claimed to conduct their own due diligence before launching products.
The battle over intellectual property rights in the “As Seen On TV” industry continues, leaving inventors like Fassett and Malone feeling like their creations have been misappropriated.
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