The European Court of Justice has ruled that “Champagner Sorbet,” a frozen drink product made in Belgium and sold in Aldi stores, does not infringe the protected designation of wines made in the Champagne region of France. Comité Interprofessionel du Vin du Champagne v. Aldi Süd Dienstleistungs-GmbH & Co. OHG, No. C-393/16 (E.C.J., entered December 20, 2017). The Champagne producers group won an initial injunction, but an appeals court in Germany referred the issue for a preliminary ruling. Among its ingredients, Champagner Sorbet contains 12 percent Champagne. The court ruled that use of part of a protected designation of origin (PDO) term for the name of a product is not “misuse, imitation or evocation” if the product contains the protected ingredient. Here, the court found, Aldi used part of the PDO to “claim openly a gustatory quality connected with it.” As long as the product has, “as an essential characteristic,…
Category Archives Litigation
After secretly filmed footage of an Idaho dairy farm drew national attention and threats against the owners, the Idaho legislature passed a law criminalizing entry, records access and the creation of recordings of agricultural production operations. The Animal Legal Defense Fund, the American Civil Liberties Union and 15 other plaintiffs challenged the law, and a federal district court invalidated it in 2015. On appeal, the Ninth Circuit has held that while two of the law’s provisions are “staggeringly overbroad” restrictions on speech, the other two survive scrutiny and do not violate the First Amendment. Animal Legal Def. Fund v. Wasden, No. 15-35960 (9th Cir., entered January 4, 2018). The panel held that Idaho cannot criminalize misrepresentations made to enter a production facility, partly because the language was overbroad and partly because it was targeted at investigative journalism. “Even assuming Idaho has a compelling interest in regulating property rights and protecting…
A winery has filed a notice of opposition against BuzzFeed Inc.'s trademark application for Wordy Wine, a wine brand allowing purchases to customize the label. Kalaris v. BuzzFeed Inc., No. 91238653 (T.T.A.B., filed December 29, 2017). Although the words “Wordy Wine” do not appear on the purchaser’s custom label, Axios Napa Valley Wines alleges the term is nearly identical to the mark for its line of “Worthy” wines.
President Donald Trump has commuted the 27-year sentence of Sholom Rubashkin, a former kosher meatpacking plant executive convicted of 86 counts of federal bank fraud and money laundering. After Rubashkin was sentenced in 2009, politicians, law enforcement officials and legal experts argued that his case was tainted by prosecutorial misconduct, but the Eighth Circuit Court of Appeals upheld his conviction and sentencing in 2011. Rubashkin and his family members were initially accused of a range of charges, including conspiracy to harbor undocumented immigrants for profit and child labor law violations.
While food companies and consumer advocacy groups agree that Americans have the right to know the contents of their food, the ideal level of transparency has been debated in legislatures, before courts and in comments to the U.S. Food and Drug Administration (FDA). Consumers have been attracted to foods labeled as "natural," but they can turn litigious when they learn that "natural" foods may contain ingredients they to be “unnatural.” Despite requests, FDA has long resisted defining how "natural" may be used in food and beverage marketing, resulting in confusion for companies and consumers alike. "The 'natural' thing has always been such a morass," one Consumers Union analyst said in 2007. While FDA has sought information on the use of the term and promised to provide guidance, the lack of definition has led to companies regularly facing allegations that they intentionally mislead consumers by marketing their products as "natural." Controversial ingredients…
A former employee has filed a discrimination lawsuit alleging Five Guys Operations paid female employees less than similarly situated male employees, echoing a similar lawsuit she filed in 2016. Finefrock v. Five Guys Operations, LLC, No. 17-2214 (M.D. Pa., filed December 1, 2017). The plaintiff asserts that after she and two other female general managers confronted executives about the alleged pay disparity, she was placed on a performance improvement plan and later fired. Alleging violations of Title VII and the Equal Pay Act provisions of the Fair Labor Standards Act, the plaintiffs seek class certification, damages, back and front pay and attorney’s fees.
The U.S. Judicial Panel on Multidistrict Litigation (JPML) has transferred five class actions related to a data breach at Sonic restaurants to the Northern District of Ohio, where the assigned court is presiding over a potential tag-along case. In re Sonic Corp. Customer Data Sec. Breach Litig., MDL No. 2807 (entered December 6, 2017). Sonic confirmed on September 27, 2017, that point-of-sale systems had been breached at its drive-in restaurants.
Utz Quality Foods Inc. has agreed to pay $1.25 million to settle a putative class action alleging that some products were labeled “natural” despite containing genetically modified organisms (GMOs) and synthetic ingredients. DiFrancesco v. Utz Quality Foods, Inc., 14-14744 (D. Mass., settlement agreement filed December 6, 2017). The complaint alleged the snacks contained GMO grains and synthetic ingredients such as caramel color, malic acid and citric acid. Class members will receive $2 for each qualifying purchase up to a total of $20 and residual funds will be paid to nonprofit group Consumers Union. Utz has also agreed to stop using the terms “natural” and “all natural” on labeling and advertising of the products.
A plaintiff has filed a lawsuit alleging Bumble Bee Foods’ Medium Red Smoked Salmon Fillet in Oil is neither medium red wild coho salmon nor smoked. Rodriguez v. Bumble Bee Foods Inc., No. 17-2447 (S.D. Cal., filed December 6, 2017). The complaint asserts that the term “medium red” is commonly used to describe wild coho salmon, which is often fished in Alaska and the Pacific Northwest, and that the product label shows an image of a salmon “jumping from water with snow-capped mountains and evergreens in background, which is evocative of Alaska.” The salmon used in Bumble Bee’s product, the plaintiff argues, is “low-quality” farm-raised Chilean coho salmon dyed red to resemble wild-caught fish. The complaint alleges Bumble Bee discloses that the company’s oyster and smoked trout products are farm-raised but omits the farm-raised disclosure on the salmon product. In addition, the complaint alleges the salmon is not smoked but rather…
A New York federal court has dismissed a false labeling suit against Dannon Co., finding "no legal support for the idea that a cow that eats [genetically modified organism (GMO)] feed or is subjected to hormones or various animal husbandry practices produces ‘unnatural’ products.” Podpeskar v. Dannon Co. Inc., No. 16-8478 (S.D.N.Y., entered December 3, 2017). The proposed class action alleged that Dannon falsely labeled 12 varieties of yogurt products as “natural” despite being produced with milk from cows raised on GMO feed. The court noted that the U.S. Food and Drug Administration is reviewing regulatory standards for the use of "natural,” but federal law does not require the products of animals fed GMOs must be labeled as containing GMOs. The plaintiff’s arguments were conclusory and “based on her own feelings,” the court noted, and the complaint did not allege that any ingredient used in the product is unnatural.