Lindt & Spruengli AG is once again facing trademark litigation over its gold-wrapped chocolate candy, this time for its “Teddy,” which Haribo GmbH claims infringes its “Gold-Bears” multi-colored gummy bears product. Lindt was unable to secure a European Union (EU) trademark for its chocolate bunny, but was able to stop Hauswirth in Austria from manufacturing Easter bunnies resembling its bunny. Lindt did not succeed in similar litigation against Reigelein in Germany. Additional information about the EU Court of Justice ruling rejecting the bunny registration appears in Issue 441 of this Update. Lindt and Haribo apparently agreed to ask a German court to resolve their dispute, and an initial hearing occurred in Landgericht Köln in October 2012. The final hearing is scheduled for December 18. Lindt has reportedly indicated that it specifically avoided marketing its bear shaped candy as a “Gold Teddy,” but Haribo complains that the product nevertheless infringes its…
Category Archives Litigation
Mafrash Attias has reportedly filed a putative class action against McDonald Israel alleging that the company cheats consumers by putting less ice cream into its ice cream cups. According to the complaint, Attias found that the contents of two sizes of the company’s “Ice Blast” product, with an NIS 2 shekel price (US 50 cents) difference, are nearly always barely distinguishable in weight or volume. He has also apparently alleged that the large size sometimes holds less ice cream than the less expensive smaller alternative and that the McDonald’s marketing pitch is to encourage customers to “size-up” for “only” 2 additional shekels. The named plaintiff reportedly submitted samples from several McDonald’s stores to the independent, Jerusalem-based Forensic Science Institute for testing. According to a news source, its report is attached to the complaint. The plaintiff seeks NIS 24.5 million (about US $7 million). See Jewish Business News, December 9, 2013…
A federal court in Georgia has called for the prosecutors and defendants in a criminal action arising from the 2009 nationwide Salmonella outbreak linked to the peanut products made by the Blakely, Georgia, Peanut Corp. of America to propose a scheduling order and trial dates between July 7, 2014, and August 2014. United States v. Parnell, No. 13-cr-12 (M.D. Ga., order entered December 11, 2013). The case had been set for trial in February. The court also agreed to review in camera affidavits and other supporting documents “to demonstrate why [the defendants’] defenses are antagonistic and mutually exclusive.” Former Peanut Corp. owner Stewart Parnell has requested that the court sever the proceedings which have been brought jointly against him and several company employees. The court further reserved ruling on pending discovery motions and the government’s motion for a competency hearing as to Stewart Parnell. Issue 507
Some four years after the U.S. Equal Employment Opportunity Commission (EEOC) accused several Ruby Tuesday, Inc. restaurants in Pennsylvania and Ohio of engaging in a pattern or practice of age discrimination against 40-year-old or older job applicants, Ruby Tuesday agreed to settle the claims, without admitting any liability. EEOC v. Ruby Tuesday, Inc., No. 09-1330 (W.D. Pa., consent decree approved December 9, 2013). The company will pay $575,000 into a qualified settlement fund account to provide back pay and statutory damages to eligible claimants, designate a decree compliance monitor to ensure compliance with the terms of the agreement, establish hiring and recruitment goals for individuals in the protected age group, adopt and maintain an electronic applicant tracking system, audit compliance, and report to EEOC. The company has also agreed to provide sufficient training regarding the decree, will report age-discrimination complaints to EEOC and retain certain records to resolve claims that…
A federal court in California has dismissed a number of claims with prejudice in the second amended complaint filed on behalf of a putative class alleging that the promotion of various snack products made by Procter & Gamble Co. and Kellogg Co. is false and misleading. Samet v. Procter & Gamble Co., No. 12-1891 (N.D. Cal., order entered December 10, 2013). The complaint challenges “0g Trans Fat,” “evaporated cane juice (ECJ),” “healthy and wholesome,” and “fortification” claims for snack chips, riblets and mixed berry snacks. The plaintiffs also bring slack-fill claims that survive. The court will allow “0g Trans Fat” claims to proceed, finding the allegations sufficient, but dismissed them with prejudice as to Pringles chip products that are “reduced fat” or sold in 100-calorie packs, finding that they have “insufficient fat content to require the disclosure in question.” The court also dismissed with prejudice causes of action based on…
A federal court in Florida has dismissed putative class claims in a consumer-fraud lawsuit to the extent they involve allegedly false “evaporated cane juice” (ECJ) labeling on Amy’s Kitchen food products that the named plaintiff did not purchase, but has otherwise allowed the remaining claims to proceed. Reilly v. Amy’s Kitchen, Inc., No. 13-21525 (S.D. Fla., order entered December 9, 2013). According to the court, in the Eleventh Circuit, plaintiffs have standing to assert claims based only on products they actually purchase thus rejecting the plaintiff’s argument that (i) she could bring claims involving products nearly identical to the purchased product and (ii) the issue was one of typicality and representation best resolved at the class certification stage. Because the plaintiff purchased just three Amy’s Kitchen products with ECJ listed as an ingredient on the label, she will be unable to pursue claims as to 57 other products. The court rejected…
A federal court in New York has certified a consumer-fraud class action against Kangadis Food Inc., d/b/a The Gourmet Factory, alleging that the company falsely labels its products as “100% Pure Olive Oil” when they actually contain the industrially processed substance “olive-pomace oil,” “olive-residue oil” or “Pomace.” Ebin v. Kangadis Food Inc. d/b/a The Gourmet Factory, No. 13-2311 (S.D.N.Y., order entered December 11, 2013). The court approved the named plaintiffs as class representatives and indicated that a memorandum stating the reasons for its ruling “will issue in due course.” Additional information about the lawsuit appears in Issue 492 of this Update. On the day the order issued, the court also filed a memorandum explaining its reasons for dismissing certain claims and allowing others to proceed in an order entered in July 2013. The court dismissed for insufficient pleading the plaintiffs’ New York breach of warranty claims, express and implied; breach…
Citing the settlement of similar class claims in a Florida court and plausibility issues, a federal court in California has dismissed with prejudice a putative class action alleging that companies misbrand products with an evaporated cane juice (ECJ) designation and sell products not meeting the standard of identity for yogurt and milk, including soymilk and almond milk. Ang v. WhiteWave Foods Co., No. 13-1953 (N.D. Cal., decided December 10, 2013). According to the court, the California plaintiffs, who filed their complaint after the class action was filed in Florida, were members of the class, knew about that settlement and had an opportunity to, but did not, object to it. Thus, the court found their ECJ and yogurt claims barred by res judicata. As for claims that consumers are confused by use of the terms “soymilk,” “almond milk,” and “coconut milk” in the names of Silk® products, an alleged violation of…
The Environmental Research Center (ERC) has reportedly filed a lawsuit under Proposition 65 (Prop. 65) against a company that allegedly sells “meal replacement” shakes and “hunger blocker” bars containing lead, a chemical known to California as a reproductive toxicant and cause of cancer. ERC v. Ideal Shape LLC, No. __ (Cal. Super. Ct., Alameda Cty.). Under Prop. 65, the Safe Drinking Water and Toxic Enforcement Act of 1986, private litigants such as ERC may bring enforcement actions after notifying an alleged violator that it has failed to provide warnings with products containing listed chemicals. ERC sent such a letter to Ideal Shape on May 17, 2013, alleging Prop. 65 violations every day since at least May 17, 2010. See Courthouse News Service, November 25, 2013.
According to court records, prosecutors have filed a motion for psychiatric examination as to Stewart Parnell, who is under criminal indictment for actions relating to the 2009 nationwide Salmonella outbreak linked to the peanut products made by the Blakely, Georgia, Peanut Corp. of America plant that Parnell owned. United States v. Parnell, No. 12-cr-12 (M.D. Ga., motion filed December 4, 2013). Information about the criminal charges appears in Issue 472 of this Update. Parnell has filed a motion to sever defendant and counts. The criminal proceedings against him are currently joined to charges against other company employees.
