What Is the Zealthy Lawsuit?
The Zealthy lawsuit is a federal civil enforcement case in which the United States, acting on a referral from the Federal Trade Commission, accuses the telehealth company Zealthy and its executives of deceptive billing and cancellation practices. The case is pending as No. 1:24-cv-21376-JLK in the U.S. District Court for the Southern District of Florida under the caption United States v. Cerebral, Inc., et al. Zealthy was added as a defendant in a First Amended Complaint filed on May 31, 2024, after the case began as a suit against its founder's earlier company, Cerebral.
Zealthy is an online telehealth company that sells subscription access to treatment for conditions such as weight loss, erectile dysfunction and hair loss. Its founder and chief executive, Kyle Robertson, previously led Cerebral, a separate telehealth company that settled its own claims in the same case. A government enforcement action differs from a class action, because the plaintiff is the United States and no group of consumers joins the case as plaintiffs.
The sections below explain what the government alleges, where the case stands and how it differs from other matters that also carry the Zealthy name. The court has not decided whether any defendant violated the law.
“Zealthy is a telemedicine company that provides healthcare services to people who subscribe to it. Zealthy facilitates subscriber access to medical services and medications for sensitive conditions such as weight loss, erectile dysfunction, hair loss, depression, and birth control.”
Source: United States District Court, Southern District of Florida, United States v. Cerebral, Inc., et al., No. 1:24-cv-21376-JLK, The United States' First Amended Complaint, Document 21, paragraph 14 (filed May 31, 2024)
Why Was the Zealthy Lawsuit Filed?
The Zealthy lawsuit was filed because the government alleges that Zealthy enrolled consumers in recurring telehealth subscriptions without clearly disclosing the terms, then made it hard to cancel. The May 2024 amended complaint says Zealthy and its affiliated medical practice, Bruno Health, P.A., advertised low prices, buried key terms in a Terms of Use page that was not part of sign-up, and kept charging subscribers who tried to cancel. It brings those claims under the Restore Online Shoppers' Confidence Act, known as ROSCA, and Section 5 of the FTC Act.
The government also points to Robertson's history as the reason it sued Zealthy and not only Cerebral. The complaint says Robertson was already the subject of an FTC investigation into ROSCA violations at Cerebral when he founded Zealthy, and that Zealthy then engaged in similar conduct. In its words, the pattern shows a reason to believe the violations would continue until a court orders them to stop.
Filings in April 2026 widened the case. According to press coverage of those filings, the government now also alleges that Zealthy issued prescriptions under the names of doctors who did not order them and posted fake reviews, and it asked the court for an asset freeze and a receiver. Those filings are discussed in the status and defendant sections below.
What Harms Does the Zealthy Lawsuit Allege?
The Zealthy lawsuit alleges five distinct categories of harm, and all of them are financial or privacy harms rather than physical injuries: unclear pricing, difficult cancellation, health data sharing, prescriptions under doctors' names and fake reviews. Each category is defined in plain language first, followed by what the government alleges. The court has not ruled on any of these allegations, and the defendants have not publicly responded to the 2026 filings.
Unclear Pricing and Unexpected Charges
Unclear pricing means that the full cost of a service is not stated plainly before a customer agrees to pay.
The 2024 amended complaint alleges that Zealthy advertised weight loss medication at about $25 with insurance or $150 without it, then charged subscribers multiples of those amounts, with some complaints citing charges above $1,000. It also alleges that offers of "$0" for the first three months or no more than "$49" for the first month were followed by much larger charges, including several months billed at once.
The complaint further says a Terms of Use page, which sign-up did not require users to open, allowed extra fees for prescriptions and delivery and set a fixed annual membership term that renewed automatically. That description appears next to the "Cancel anytime" language the complaint says was shown during enrollment.
Difficult Cancellation
A difficult cancellation is a process for ending a subscription that takes more effort than the sign-up did.
The government alleges that sign-up took minutes online while cancelling required repeated emails or messages that did not end the subscription. The complaint says some subscribers kept being charged hundreds of dollars and had to cancel their credit cards to stop the charges.
Press coverage of the 2026 filings adds that the government describes a 12-step cancellation process and says support staff were told not to raise the word "cancel" unless a customer used it first. Those descriptions come from the government's filings, and Zealthy has not publicly answered them.
Health Data Sharing
Health data sharing means passing a person's medical or health-related information to another company.
The complaint alleges that Zealthy's Privacy Policy, which was also outside the sign-up flow, let the company share user data with third-party vendors and let outside advertisers use tracking technology on its website. It says users answered detailed health questionnaires about conditions such as weight loss, anxiety and erectile dysfunction without being clearly told how that information could be used.
This allegation is part of the same combined claim as the pricing allegations, in Count VIII, and no separate privacy count was pleaded against Zealthy in the 2024 complaint.
Prescriptions Under Doctors' Names
A prescription under another clinician's name means that a prescribing record lists a licensed professional who did not personally order the medication.
According to the government's 2026 filings, as reported by Sherwood News and other outlets, Zealthy used the names, license numbers and National Provider Identifier numbers of doctors who did not work there or no longer did. The reports say more than 8,000 prescriptions were ordered under the name of one doctor after he left, and that non-clinicians, including foreign call-center contractors, placed orders.
The reports cite a declaration from Dr. Steven McDonald, Zealthy's former medical director. This allegation was made after the 2024 complaint, and the court has not tested it.
Fake Online Reviews
A fake online review is a review written by the seller or on its behalf that presents itself as the opinion of an independent customer.
Behavioral Health Business reports that the 2026 complaint alleges reviews were posted under aliases, including by Robertson, to push down negative reviews. The 2024 complaint made a related claim against Robertson and a Cerebral executive about Cerebral, and the government's current claims about Zealthy rest on the later filing.
The government cites the FTC's rule on consumer reviews, which the same report says was finalized in August 2024. No court has found that any Zealthy review was fake.
What Is the Current Status of the Zealthy Lawsuit?
The current status of the Zealthy lawsuit is that the government's April 2026 motion for an asset freeze, a receivership and a preliminary injunction against Zealthy is the latest reported development, and no ruling on it was located as of November 1, 2026. This is a single federal case in one court, so there is no MDL or parallel state-court track to separate. No trial date and no settlement with Zealthy have been reported.
United States v. Cerebral, Inc., et al., No. 1:24-cv-21376-JLK (S.D. Fla.)
The case began on April 15, 2024, with a complaint against Cerebral and Kyle Robertson, and the United States filed the First Amended Complaint as Document 21 on May 31, 2024. That filing added Zealthy, Inc., Gronk, Inc., Bruno Health, P.A., Dr. German Echeverry and a former Cerebral executive, Alex Martelli, as defendants. Zealthy is named in Count VIII, for unfair and deceptive practices under the FTC Act, and in Count IX, for violations of ROSCA.
| Court | U.S. District Court for the Southern District of Florida |
| Case Number | 1:24-cv-21376-JLK |
| Plaintiff | United States of America, upon referral from the Federal Trade Commission |
| Defendants Named in the 2024 Amended Complaint | Cerebral, Inc.; Zealthy, Inc.; Gronk, Inc.; Bruno Health, P.A.; Kyle Robertson; Alex Martelli; German Echeverry |
| Original Complaint | April 15, 2024 (Cerebral and Robertson only) |
| First Amended Complaint | May 31, 2024, Document 21 |
| Claims Against Zealthy | FTC Act Section 5 (Count VIII) and ROSCA (Count IX) |
| Relief Sought | Permanent injunction, civil penalties, monetary relief; jury trial demanded |
| Latest Reported Filing | Amended complaint dated April 10, 2026, and a motion for asset freeze and receivership filed the week of April 13, 2026 |
| Cerebral | Settled its claims with the government separately |
Press coverage of the 2026 motion names Mark Roberts of Alvarez & Marsal as the proposed receiver and says the government told the court that the penalties and refunds at stake may bankrupt Zealthy. The sources found for this page did not report a hearing date or a decision, and the court's docket was not accessible for this review, so the docket itself controls.
Has the Zealthy Lawsuit Settled?
No. Zealthy has not reported a settlement in the federal lawsuit, and the government has not stated a dollar figure for the penalties or refunds it seeks from Zealthy.
Cerebral settled its own claims in the same case, and that settlement does not resolve any claim against Zealthy, Robertson, Echeverry or Bruno Health. Only a qualified attorney reviewing a person's own records can say whether a particular subscriber has any claim, and a government filing is an allegation, not a finding.
The government asks for civil penalties for each violation of ROSCA and, in its 2026 filings, for each violation of the FTC's consumer review rule, plus refunds to consumers. Press coverage reports that the government itself told the court these amounts may bankrupt Zealthy, which is the reason it gave for seeking an asset freeze.
No claims process or refund program exists for Zealthy subscribers as of November 1, 2026, because no judgment or settlement has set one up. Consumers do not join this case as plaintiffs, and Zealthy's Terms of Use reportedly require individual arbitration, which would limit a private class action.
Zealthy Lawsuit Updates
Here are the latest Zealthy lawsuit updates, covering new court filings, rulings, and case-count reports as they're confirmed. Litigation in the federal case against Zealthy and its executives remains active as of November 2026, with no bellwether trial or settlement completed. The timeline below tracks every confirmed development from the first filing forward.
Zealthy Lawsuit Timeline of Events
Zealthy, Inc. Is Incorporated in Delaware
Kyle Robertson, the former Cerebral chief executive, founded Zealthy, Inc., which filed articles of incorporation in Delaware on December 15, 2022, according to the government's First Amended Complaint in United States v. Cerebral, Inc., et al. Zealthy later filed in Florida on February 10, 2023.
Zealthy Files, Then Revokes, Articles of Dissolution in Florida
Zealthy, Inc. filed articles of dissolution with the Florida Department of State on October 25, 2023, and authorized their revocation the next day, according to the government's 2024 amended complaint in the federal Zealthy lawsuit. The complaint says Robertson signed both the dissolution and the revocation filings.
Zealthy Is Renamed Gronk, Inc. but Keeps Operating as Zealthy
Zealthy filed paperwork in January 2024 changing its formal Florida name to Gronk, Inc., according to the amended complaint in the federal Zealthy lawsuit. The complaint says the company kept doing business under the Zealthy name on its website and in communications with consumers.
The United States Sues Cerebral and Kyle Robertson
The United States filed its original complaint in the Southern District of Florida on April 15, 2024, as No. 1:24-cv-21376, naming Cerebral, Inc. and Kyle Robertson as defendants. The FTC's case page lists the filing as a complaint for permanent injunction, monetary relief and civil penalties.
Amended Complaint Adds Zealthy, Bruno Health and Dr. Echeverry
The United States filed its First Amended Complaint on May 31, 2024, as Document 21 in the Southern District of Florida case, adding Zealthy, Inc., Gronk, Inc., Bruno Health, P.A. and Dr. German Echeverry as defendants. Counts VIII and IX plead FTC Act and ROSCA violations against Zealthy, Bruno Health, Robertson and Echeverry.
FTC Reports More Than $5 Million in Refunds From the Cerebral Settlement
The FTC announced on May 8, 2025, that more than $5 million in refunds had been sent to Cerebral consumers over deceptive cancellation practices, according to the agency's case page for the federal case. These refunds come from the Cerebral settlement and do not cover Zealthy subscribers.
FDA Sends a Warning Letter to FitRX, LLC Doing Business as Zealthy
The FDA's Center for Drug Evaluation and Research sent a warning letter on September 9, 2025, to FitRX, LLC, doing business as Zealthy, about the company's website claims for compounded semaglutide. The letter says claims that semaglutide is the same as Wegovy and Ozempic were misleading and gave the company fifteen working days to respond.
TCPAWorld Reports a Putative Class Action Over Zealthy Text Messages
TCPAWorld reported on February 18, 2026, that a Pennsylvania consumer filed a putative class action against Zealthy under the Telephone Consumer Protection Act, alleging that text messages continued after at least ten stop requests. This is a separate private case, not part of the federal government action in the Southern District of Florida.
The Government Files an Amended Complaint With New Allegations Against Zealthy
The United States filed an amended complaint in the Southern District of Florida case on April 10, 2026, according to Sherwood News and Behavioral Health Business. Press coverage says it adds allegations about prescriptions issued under doctors' names, fake reviews and Zealthy's loss of its LegitScript certification in 2025.
Government Moves for an Asset Freeze and Receivership Against Zealthy
The government moved in the Southern District of Florida case the week of April 13, 2026, for an asset freeze, a receivership and a preliminary injunction against Zealthy and Kyle Robertson, calling the conduct a "runaway campaign of lawbreaking." The filing proposed Mark Roberts of Alvarez & Marsal as receiver.
Court Dismisses Novo Nordisk's Claims Against Zealthy in a Separate New York Case
A federal judge in the Southern District of New York granted Zealthy's motion to dismiss Novo Nordisk's Lanham Act and New York General Business Law claims over compounded semaglutide marketing, in a ruling dated July 31, 2026, according to a blog report published August 6, 2026. This separate case does not involve the Florida case's allegations.
What Did Zealthy Allegedly Do in the Zealthy Lawsuit?
In the Zealthy lawsuit, Zealthy allegedly ran a subscription telehealth business that hid costs, made cancelling difficult and, according to the 2026 filings, prescribed medication under doctors' names without their involvement. The government says Robertson founded Zealthy while an FTC investigation of his conduct at Cerebral was still open, and that Echeverry served as Zealthy's Senior Medical Director while also heading Bruno Health, the medical practice that provides its clinical services.
The government's 2026 filings, as reported, say Zealthy lost its LegitScript medical merchant certification in 2025 after failing to disclose the lawsuit, and that advertising platforms and payment processors then dropped it. They also say executives bought their own subscriptions with credit cards to lower the rate of disputed charges. Robertson and Zealthy did not respond to requests for comment from Behavioral Health Business, and the table below lists the parties and their roles.
| Party | Role | Reported Position |
|---|---|---|
| Zealthy, Inc. (also Gronk, Inc.) | Defendant, Counts VIII and IX | No public response located to the 2024 or 2026 allegations |
| Kyle Robertson | Defendant; Zealthy founder and CEO, former Cerebral CEO | Did not respond to requests for comment on the 2026 filings |
| German Echeverry, M.D. | Defendant; Zealthy Senior Medical Director, Bruno Health President | No public response located |
| Bruno Health, P.A. | Defendant; affiliated medical practice | No public response located |
| FDA | Regulator; sent a September 9, 2025 warning letter to FitRX, LLC doing business as Zealthy | Said compounded drugs are not FDA-approved |
These are positions taken in government filings, agency correspondence and press coverage, and the court has not ruled on whether any defendant violated the law.
How Does the Zealthy Lawsuit Compare to Related Cases?
The Zealthy lawsuit differs from three related cases that also name Zealthy or its founder, and none of them is part of the Florida case. Cerebral settled its own claims in the same Florida docket, a separate private text-message class action targets Zealthy, and Novo Nordisk's New York suit concerned drug marketing rather than billing.
| Matter | Subject | Relationship to This Case | Reported Status |
|---|---|---|---|
| Cerebral, Inc. (same docket, No. 1:24-cv-21376) | Privacy, data security and cancellation claims against Zealthy's founder's earlier company | Same case number, but Cerebral settled separately; the FTC reports an order and $7 million payment | FTC reported more than $5 million in refunds to Cerebral consumers on May 8, 2025 |
| Putative TCPA class action against Zealthy (Pennsylvania consumer) | Text messages sent after stop requests | Separate private case, not brought by the government | Reported by TCPAWorld on February 18, 2026; court and docket number not stated; outcome not located |
| Novo Nordisk v. Zealthy Inc. (S.D.N.Y.) | Lanham Act and New York General Business Law claims over compounded semaglutide marketing | Separate brand-protection case, not a consumer case | Motion to dismiss granted, reported August 6, 2026 |
A development in one of these matters does not change the status of the others, and the FDA warning letter to Zealthy's operating company is a regulatory action, not a lawsuit.
Frequently Asked Questions
What is the Zealthy lawsuit about?
The Zealthy lawsuit is about whether Zealthy and its executives violated the FTC Act and ROSCA by hiding subscription costs and terms and making cancellation difficult. The case is United States v. Cerebral, Inc., et al., No. 1:24-cv-21376-JLK in the Southern District of Florida, and the court has not ruled on the allegations.
Is the Zealthy lawsuit a class action?
No, the Zealthy lawsuit is not a class action and it is not an MDL. It is a civil enforcement action brought by the United States on referral from the FTC, so consumers do not join as plaintiffs. A separate putative text-message class action against Zealthy was reported in February 2026.
Has Zealthy settled the lawsuit?
No, Zealthy has not reported a settlement in the federal lawsuit as of November 1, 2026. Cerebral, Robertson's earlier company, settled its own claims in the same case, and that settlement does not resolve the claims against Zealthy.
What did the DOJ ask the court to do to Zealthy in 2026?
The DOJ asked the court in April 2026 to freeze Zealthy's assets and appoint a receiver, with Mark Roberts of Alvarez & Marsal proposed for that role. The government said Zealthy's available money may fall short of what it could owe, and no ruling on the request was located.
Can Zealthy customers get a refund through the Zealthy lawsuit?
No refund program exists for Zealthy customers in the Zealthy lawsuit as of November 1, 2026, because no judgment or settlement has created one. The government seeks consumer redress, and the FTC's Cerebral refunds of more than $5 million covered Cerebral customers, not Zealthy customers.
Is Novo Nordisk's lawsuit against Zealthy the same as the government's lawsuit?
No, Novo Nordisk's lawsuit against Zealthy is a different case from the government's lawsuit. Novo's claims in the Southern District of New York concerned how Zealthy described compounded semaglutide, and a judge granted Zealthy's motion to dismiss them in a ruling reported in August 2026.