Medifast, Inc. is an American nutrition and weight loss company based in Baltimore, Maryland. The Jason Proceuticals, Inc. (Jason), Take Shape for Life, Inc. (TSFL) Company (renamed Optavia from July 2017), Jason Enterprises, Inc., Jason Properties, LLC and Seven Crondall, LLC. Medifast produces, distributes, and sells weight loss and other health-related products through websites, multi-level marketing, telemarketing, franchised weight loss clinics, and medical professionals. The company has a market capitalization of $ 1.4 trillion, as of May 2018.
Medifast was founded in 1980 by William Vitale, a medical doctor. His products were sold directly to other doctors, who in turn prescribed them to their patients. The company is publicly traded on the New York Stock Exchange (symbol: MED). On July 17, 1995, HealthRite (predecessor of Medifast) changed its name from Vitamin Specialties Corp.In October 2010, Medifast was ranked number 1 on Forbes magazine’s list of “America’s 100 Best Small Companies”. The company was ranked 18th of the 2014 list.
In September 2012, Medifast’s subsidiary, Jason Pharmaceuticals, paid a $ 3.7 million civilian penalty for false advertising. The Federal Trade Commission and the United States Department of Justice said that “low-calorie diet and diet plan” consumers said they could “lose up to 2-5 pounds per week.”, And that these weight-loss claims lacked a reasonable scientific basis, and were unsubstantiated. Under the settlement, any future claims made by the company must be backed by at least one human clinical study.