Procter and Gamble awarded $19M over Church of Satan rumors
This is an archived article that was published on sltrib.com in 2007, and information in the article may be outdated. It is provided only for personal research purposes and may not be reprinted.

A federal jury in Salt Lake City has awarded more than $19 million to Procter & Gamble for damage caused to its sales by four Amway distributors who passed along a false rumor that the corporate giant supported a satanic church.

The panel returned the verdict late Friday after a 10-day trial. U.S. District Judge Ted Stewart, who presided over the trial, has the option of adding interest to the $19.25 million award against Randy Haugen, Steven E. Brady, Stephen L. Bybee and Ted Randal Walker.

"This is about protecting our reputation," a Procter & Gamble attorney said in a news release. "We will take appropriate legal measures when competitors unfairly undermine the reputation of our brands or our company."

The judgment comes after a dozen years of litigation. P&G filed suit against Haugen, of Ogden, and three other distributors in 1995 over their dissemination of the devil-worship hoax through Amway's voice-mail system. The four passed along the false story that P&G's president had appeared on a TV talk show and announced his company's affiliation with the Church of Satan.

P&G - a Cincinnati-based maker of laundry detergent, soap, shampoo, toothpaste and other products - claims the Amway distributors cost it millions of dollars in sales by spreading the story. The Amway defendants say they merely repeated a rumor they believed at the time to be true.

During the drawn-out legal battle, Amway Corp., a multilevel marketer of household products, was dismissed as a defendant and various claims were thrown out. Remaining as defendants by the time the case went to trial were Haugen, Brady, Bybee and Walker.

pmanson@sltrib.com

Four defendants, one from Ogden, spread the lie while working as distributors for Amway
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