Sketchers To Pay $40 Million Settlement Over "Shape Up" Shoe Toning Claims; False Advertising That Shoes Help Lose Weight[VIDEO]

A staggering $40 million class-action settlement filed by the Federal Trade Commission to Sketchers has been finally approved by a federal judge after months-long investigations. "Shape Up" Sketchers shoes claimed customers would lose weight and tone their legs, buttocks and abdominal muscles. Due to the unproven claims, however, Sketchers was charged with false advertising.

In fact, the Sketcher shoes, advertised by Kim Kardashian and Brooke Burke, made some people gain weight, relying on the footwear too heavily.  U.S. District Judge Thomas B. Russell in Louisville approved the deal this yesterday.

A federal judge approved a $40 million settlement between Sketchers USA Inc. and consumers who bought the toning shoes after ads made unfounded claims that the footwear would help people lose weight and strengthen muscles, saying it provides natural instability and causes the consumer to "use more energy with every step." The false claim also included Sketchers would improve cardiovascular health

"Accordingly, the court finds that the proposed settlement is fair, reasonable and adequate," Russell wrote.

The settlement grew out of a series of ads Skechers aired featuring celebrity endorsers such as Kim Kardashian and Brooke Burke, with claims that the shoes could help people lose weight and strengthen their butt, leg and stomach muscles. Kim's Sketchers commercial first aired during the 2012 Superbowl, and cost the company millions of dollars for the airtime.

Brooke Burke also did a seperate ad wherein she stated that "the newest way to burn calories and tone and strengthen muscles was to tie their shape-up shoe laces."

Judge Russell also awarded an additional $5 million for the attorneys in the case to split.

The settlement covers more than 70 lawsuits from across the country and over 520,000 claims that the Shape-ups, Resistance Runner, Toners, and Tone-ups did not live up to expectations. Everyone who purchased the shoes will get a full refund; $80 per pair of Shape-Ups; $84 per pair of Resistance Runner shoes,  $54 per pair of Podded Sole Shoes and $40 per pair of Tone-Ups.

Bureau of Consumer Protection director David Vladeck explained:

"Skechers' unfounded claims went beyond stronger and more toned muscles. The company even made claims about weight loss and cardiovascular health. The FTC's message, for Skechers and other national advertisers, is to shape up your substantiation or tone down your claims."

Chief Financial Officer David Weinberg of Sketchers said in his own statement:

"While we vigorously deny the allegations made in these legal proceedings and looked forward to vindicating these claims in court, Skechers could not ignore the exorbitant cost and endless distraction of several years spent defending multiple lawsuits in multiple courts across the country."

Sketchers isn't the only company that's had to pay a considerable amount of money over false toning shoe claims. Fellow footwear company Reebok had to pay around $25 million after the company was found guilty of making false statements about its EasyTone and RunTone lines.