Category Archives Global Courts

Diamond Foods, Inc. has agreed to settle the consumer fraud class action suits filed by plaintiffs in California and Florida alleging that the company falsely labels its Kettle Brand® chip products as “All Natural,” when they contain artificial, synthetic or genetically modified ingredients, or as “Reduced Fat” while referencing non-comparable foods. Klacko v. Diamond Foods, Inc., No. 14-80005 (S.D. Fla., motion for preliminary approval filed October 22, 2014). Details about one of two similar California lawsuits appear in Issue 510 of this Update. Under the agreement, the company would establish a $2.75-million fund for class member claims, pay the costs of class notice and administration up to $300,000 and agree not to oppose attorney’s fees, expenses and costs of $775,000. Class members with proof of purchase would be able to recover up to $20, representing $1.00 for up to 20 purchases; those without proof of purchase would recover up to $10.…

A German appeals court has dismissed a lawsuit brought by consumer group Stiftung Warentest accusing candy manufacturer Ritter Sport of labeling its Whole Hazelnut bar as natural despite containing piperonal, which the group contends can only be obtained using unnatural chemicals. The ruling prevents Stiftung Warentest from claiming Ritter is misleading customers but does not yet allow claims for damages. A representative of Stiftung Warentest expressed disappointment with the decision, saying that they still did not know how Ritter produced the piperonal, but a Ritter representative said that the company, along with its piperonal supplier Symrise, had filed patents on how the substance could be obtained naturally. See Confectionery News, September 15, 2014.   Issue 539

Costa Rica’s Constitutional Chamber of the Supreme Court has reportedly struck down the country’s approval process for projects using genetically modified organisms (GMOs), finding it violates the constitutional rights to a healthy environment and—because of the confidentiality of the process— freedom of information. Environmental groups challenged the process in late 2012, and the Ombudsman’s Office represented their views in court, arguing that the GMO approval process prevented Costa Ricans from accessing information that could potentially affect their health and well-being. The ruling affects the Fitosanitary Law, but it does not ban GMOs or affect GMO projects that have already been approved. See Tico Times, September 11 and 16, 2014.   Issue 538

Ruling against Val-de-Travers absinthe producers, the Swiss Federal Administrative Tribunal has reversed a 2010 Federal Office of Agriculture decision confirming the “protected geographical indications” registration of the terms “absinthe,” “fée verte”—the green fairy and “la bleue.” Guignon v. Ass’n interprofessionnelle de l’Absinthe, No. B-4820/2012 (Tribunal administratif fédéral, decided August 13, 2014). The court said in a press release that it believed “that this denomination refers to a type of good, regardless of its origin, and not to a product originating specifically from Val-de-Travers.” According to the court, just a small percentage of people in Switzerland associate the terms with this region, a district in the Neuchâtel canton. The president of the absinthe association, which registered the terms on behalf of the producers and defended the appeals filed by distillers in France, Germany and Switzerland, reportedly characterized the decision as “incomprehensible” because most of Switzerland’s absinthe is produced in Val-de-Travers and the ruling…

The U.K. Supreme Court has reportedly refused to consider the appeal filed by Chobani Inc. from an appeals court order dismissing its appeal of a permanent injunction prohibiting the company from designating its U.S.-made yogurt as “Greek” yogurt. Additional details about the January 2014 appeals court ruling appear in Issue 511 of this Update. According to a court spokesperson, three justices dismissed the application for permission to appeal “because the application [did] not raise a point of law of general public importance.” Fage U.K., Ltd., which instituted the litigation, said of the ruling, “The High Court has ended the ‘Greek yogurt’ case, its decision is final. Chobani is forbidden from selling US-made strained yogurt as ‘Greek’ in the United Kingdom.” Fage also reportedly said that Chobani must pay its legal fees. Meanwhile, expressing disappointment in the outcome, Chobani has apparently indicated that it no longer sells its yogurt in Britain,…

The Russian consumer protection agency, Rospotrebnadzor, has reportedly announced that it filed a claim alleging that McDonald’s has misrepresented the nutritional information of several hamburger and ice cream menu items and that two restaurant locations showed traces of E. coli contamination in their salads and Caesar wraps. Although Rospotrebnadzor said it filed a lawsuit on July 3, 2014, a McDonald’s representative told the media in late July 2014 that the company had not received either an official complaint from the court or a notice from the agency. The complaint allegedly accuses McDonald’s of listing nutritional information that indicated its hamburgers and milkshakes had about one-half or one-third of the actual calorie, fat, protein, and carbohydrate counts. According to The New York Times, Russia has targeted food imports during geopolitical tension before, banning cheese and wines from post-Soviet neighbors during times of disagreement with those countries. Following Russia’s annexation of the Crimean…

Advocate General Niilo Jääskinen of the EU Court of Justice has issued an opinion in the case of a morbidly obese child-minder in Denmark who lost his job, allegedly due to unlawful discrimination, finding that “if obesity has reached such a degree that it plainly hinders participation in professional life, then this can be a disability” under the Equal Treatment in Employment Directive. Karsten Kaltoft, who never weighed less than 352 pounds (with a BMI of 54) during his 15-year tenure with the Municipality of Billund taking care of other people’s children in his home until he was terminated, claimed that his dismissal was based on his weight and sought damages for discrimination. The Court of Kolding in Denmark referred the case to the EU Court of Justice, seeking an opinion on whether the EU Treaty and Charter included a “self-standing prohibition on discrimination on the grounds of obesity,” or…

A French organic winemaker has reportedly appeared in court to answer to charges that he defied an official order to spray his vineyard with a pesticide to prevent the spread of a leafhopper insect believed to be responsible for a devastating bacterial disease that has affected vines in Burgundy’s Côte-d’Or region, where Emmanuel Giboulot produces Côte de Beaune and Hautes-Côtes de Nuits organic wines. He claims that the pesticide does not work and is harmful to pollinating insects such as bees. He also apparently insists that more natural means can be used to fight the disease. According to a news source, Giboulot faces a six-month prison sentence and €30,000 (US$41,000) fine for failing to apply the insecticide treatment to his vineyard in July 2013. An online petition about his case has reportedly been signed by more than 40,000 supporters, and a large crowd gathered outside the Dijon court on March…

According to a coalition of environmental organizations, service has been effected on the defendants to their court application challenging the legality of the Canadian government’s decision to allow AquaBounty Technologies to commercially produce genetically engineered (GE) salmon. Ecology Action Centre v. Minister of the Env’t, No. T-2114-13 (Fed. Ct., filed December 23, 2014). They contend that Minister of the Environment Leona Aglukkaq and Minister of Health Rona Ambrose failed to assess under the Canadian Environmental Protection Act whether GE salmon “could become invasive, potentially putting ecosystems and species such as wild salmon at risk.” Alleging several statutory and regulatory violations, the organizations seek a declaration that the ministers acted unlawfully and without jurisdiction, their toxicity assessment is invalid and unlawful, or they unlawfully or unreasonably failed to conduct a lawful and complete toxicity assessment. AquaBounty CEO Ron Stotish has reportedly indicated that the legal action is without merit. See Ecology Action Centre…

According to a news source, the Russian Supreme Court has denied a challenge filed by environmental groups to government Decree No. 839, which will allow the registration of genetically modified (GM) crops and products containing GM ingredients beginning July 1, 2014. Prime Minister Dmitry Medvedev signed the decree in late September 2013, and the groups filed their court challenge in December. They also wrote to President Vladimir Putin, asking for him to prohibit the cultivation of GM crops in the country. The Russian Supreme Court press service reportedly indicated that under the Code of Civil Procedure government actions “can only be contested if they are in effect and . . . give some rights and duties to citizens and legal entities at the time they are contested.” National Association of Genetic Safety Director Yelena Sharoikina reportedly said, “It turns out that the Supreme Court suggests that we should wait for…

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