Government Urges Court to Reject Lenny & Larry’s Settlement

The federal government has filed a statement of interest in a lawsuit alleging that Lenny & Larry’s Inc. misled consumers as to the amount of protein in its cookies. Cowen v. Lenny & Larry’s Inc., No. 17-1530 (N.D. Ill., E. Div., filed February 15, 2019). The statement argues that the settlement is a marketing opportunity for Lenny & Larry’s rather than a benefit for the consumer class.

“The settlement before the Court has a purported $3.5 million value, but that amount disguises the limited benefits it actually offers to class members. In reality, the settlement’s cash component will go almost entirely to class counsel, while the bulk of its non-monetary award will consist of free cookies the defendant plans to send to vendors across the country for distribution to whomever those vendors select,” the statement asserts. “Indeed, it is difficult to imagine a less balanced settlement than one where most of the money goes to class counsel and administrative costs, while class members get far less than their counsel and the general public gets over $3 million in free cookies. The United States thus urges the Court to reject the proposed settlement as it is currently structured.”