Tag Archives Illinois

A woman who formerly worked as a LongHorn Steakhouse server has asked a federal court for permission to modify her motion for a collective action under the Fair Labor Standards Act following the court’s denial of her motion in December 2012 on the ground that she lacked personal knowledge as to practices at the company’s steakhouses across the country. Velez v. GMRI, Inc., No. 12-4857 (N.D. Ill., filed January 14, 2013). The suit involves claims that the defendant failed to pay minimum wages. As part of her motion, the plaintiff seeks leave to amend her complaint “both to correct the LongHorn corporate entities brought in as defendants, and to clarify the claims brought under the collective procedure.” According to the motion, “the only claim on which Plaintiff seeks collective treatment is the claim that Defendants required tipped employees to perform non-tipped duties while paid the tip-credit wage rate, in violation of…

Chicago’s City Council has reportedly approved an ordinance that will impose new nutrition rules on most food and drinks sold from 350 vending machines in 94 city buildings, setting restrictions on fat, calories, sugar, and sodium. The new ordinance applies to vending machines in city-owned and -leased buildings and takes effect January 2013. In a recent press release, Mayor Rahm Emanuel (D) said that the changes aim to encourage personal responsibility. “These new vending machines will make it easier than ever before for city employees and the public to make healthy lifestyle choices,” he said. “When city employees take their wellness into their own hands, we can reduce health care costs and also serve as a model for the residents of Chicago when it comes to making health choices.” Many health advocates have purportedly said that it makes sense to set standards for machines aimed at children and at city…

A federal court in Illinois has dismissed a putative class action filed against a nutritional supplement company by a Muslim woman who alleged that the company misled consumers by failing to disclose that some of its products contain an animal-based product. Lateef v. Pharmavite LLC, No. 12-5611 (N.D. Ill., decided October 24, 2012). The court found the consumer-fraud claim preempted and determined that the named plaintiff lacked standing to rely on allegations relating to the company’s web-based advertising because she did not visit the Website before purchasing the product. The plaintiff also abandoned her federal law-based claim. According to the court, the plaintiff has dietary restrictions that prohibit her from eating certain animal-based food products such as pork. She allegedly purchased the defendant’s Nature Made® Vitamin D tablets after carefully reading the product label to ensure it did not contain animal byproducts. Her complaint alleges that the tablets were coated…

Nestlé Waters North America (NWNA) has removed to federal court a putative class action alleging that the company failed to disclose that its Ice Mountain® 5-gallon bottles are not 100 percent natural spring water, “but are actually resold water sourced from municipal water systems.” The Chicago Faucet Shoppe, Inc. v. NWNA, Inc., No. 12-8119 (N.D. Ill., filed October 10, 2012). The named plaintiff, a company that contracted with NWNA in 2008 to deliver the water bottles to its Chicago office, filed the action on behalf of all purchasers in Illinois, Michigan, Minnesota, and Missouri under Illinois consumer fraud laws. The removal notice claims that under the Class Action Fairness Act, diversity of citizenship exists between putative class members and the defendant and that the amount in controversy exceeds the $5 million jurisdictional threshold. “According to NWNA’s records, since October 2009, more than $5,000,000 of Ice Mountain® brand 5-gallon bottled water has…

Two commercial liability insurance companies have filed a complaint against Phusion Projects Inc., the company that makes Four Loko®, an alcoholic beverage containing stimulants such as caffeine, guarana and taurine, seeking a declaration that “they do not owe a duty to defend or indemnify” the company in personal injury and wrongful death actions filed against it in several states. The Netherlands Ins. Co. v. Phusion Projects Inc., No. 12-7968 (N.D. Ill., filed October 4, 2012). The underlying complaints involve a California resident who was shot to death by police after consuming the beverage and acting “in an irritated, agitated, and disoriented manner”; a New York resident who sustained injuries in an auto accident with a woman who had consumed the product and allegedly drove her car in a reckless manner; a New Jersey resident who died from a stabbing in an attack by a woman who had allegedly “imbibed Four Loko”;…

The Seventh Circuit Court of Appeals has determined that a Steak 'n Shake franchisee in Illinois was entitled to a preliminary injunction to stop the implementation of a new Steak 'n Shake policy for menu pricing and promotions. Stuller, Inc. v. Steak N Shake Enters., Inc., No. 11-2656 (7th Cir., decided August 24, 2012). The franchisee, in operation for more than 70 years, owns five restaurants and is the oldest Steak 'n Shake franchisee in the country. While Steak 'n Shake controls many aspects of restaurant management, some aspects are left to individual franchisees. Plaintiff Stuller, Inc. has had the ability to set menu prices throughout its history, but in June 2010, Steak 'n Shake demanded that all franchisees follow its menu pricing and promotions. Stuller brought a declaratory judgment action against Steak 'n Shake after the franchisor threatened to terminate Stuller’s franchises for refusing to implement the new policy. The…

The Sixth Circuit Court of Appeals has determined that the Roskam Baking Co. did not infringe a trademark by using the term “Texas Toast” in selling its packaged croutons. T. Marzetti Co. v. Roskam Baking Co., No. 10-3784 (6th Cir., decided May 25, 2012). Marzetti apparently began using the Texas Toast mark for its frozen garlic bread in 1995 and then adopted the term for use with a crouton product sold in 2007. The company attempted to register the mark in 2009, but the applications were initially denied “because of the potential likelihood of confusion with the mark Texas toast for bakery goods.” Thereafter, they were approved for publication as, “at a minimum, suggestive.” The defendant filed an opposition to the trademarks in 2010, and Marzetti, learning about the company’s Texas Toast croutons, filed this trademark infringement action. The Sixth Circuit agreed with the district court that the mark is not…

New York and New Jersey residents have filed a putative class action in an Illinois federal court against the company that makes a line of kefir dairy products, alleging that they are falsely promoted as providing “clinically proven therapeutic benefits for various health conditions.” Keatley v. Lifeway Foods, Inc., No. 12-3521 (N.D. Ill., filed May 8, 2012). According to the complaint, Lifeway claims, without adequate proof, that its kefir products containing ProBoost, “an exclusive blend of live and active probiotic cultures,” can support immunity, enhance digestion, boost well-being, alleviate diarrhea, and otherwise address autoimmune disorders, bad breath, celiac disease, Crohn’s and colitis, high cholesterol, immune deficiency, infantile colic, irritable bowel syndrome, lactose intolerance, seasonal allergies, and yeast infections. The plaintiffs contend that they would not have purchased the products if they had known that ProBoost products “did not have the quality, health benefits or value as promised.” Seeking to certify a…

A federal grand jury in Illinois has brought criminal indictments against four individuals who allegedly distributed more than 110,000 pounds of Mexican cheese in the United States in 2007 despite Food and Drug Administration (FDA) “hold” orders and also allegedly “washed” cheese returned by dissatisfied customers by scraping off mold and fungus so it could be resold. United States v. Zurita, No. __ (N.D. Ill., indictment returned April 18, 2012). No illnesses or other public health issues were attributed to the adulterated cheese distribution in the six-count indictment. The charges involve three separate shipments of cheese from Mexico that FDA ordered to be held and then later ordered either “detained” or “refused” after testing revealed the presence of Salmonella, E. coli, alkaline phosphate (found in unpasteurized products), and Staphylococcus. The defendants allegedly conspired to distribute the shipments despite FDA orders not to do so. They also allegedly distributed cheese before inspection, failed…

Counsel for five current and former Illinois prison inmates has reportedly indicated that four expert witnesses are prepared to testify that the soy in the inmates’ prison diets caused them “irreparable, actual harm,” and thus their litigation against the state, prison wardens and nurses will proceed. Harris v. Brown, No. 07-03225 (C.D. Ill., filed August 16, 2007). According to a news source, the inmates are seeking an order to stop the Illinois Department of Corrections from using soy in the food prisoners eat; the plaintiffs claim they consumed up to 100 grams of soy protein daily despite Food and Drug Administration recommendations that soy intake not exceed 25 grams. Claiming violations of their Eighth Amendment rights to be free of cruel and unusual punishment, the plaintiffs are being represented by the Weston A. Price Foundation, which opposes soy foods and has backed similar lawsuits in other states. The foundation claims that…

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