New York City’s Metropolitan Transit Authority (MTA) board has passed a resolution banning all advertising for alcohol products over concerns that exposure to the ads “influences many young people to start drinking earlier and to drink more," which "leads to much higher public health and safety costs.” Although the primary purpose for MTA ads is to raise revenue, alcohol ads account for about $2.8 million annually, about 2 percent of the $144.8 million raised in 2016. Other cities that have instituted similar bans reportedly include Los Angeles, San Francisco, Detroit, San Diego and Baltimore; Chicago and Atlanta allow the ads, the board said, but “with restrictions that limit their exposure to young people.” The ban will take effect January 1, 2018, but MTA stopped contracting for additional advertising as of October 25, 2017.
An Indiana federal court has granted summary judgment to Givaudan Flavors Corp. on the issue of design defect, ending a lawsuit by 27 popcorn factory workers who alleged they suffered respiratory injuries after being exposed to the company's diacetyl butter flavoring. Aregood v. Givaudan Flavors Corp., No. 14-0274 (S.D. Ind., entered October 18, 2017). Givaudan had filed a motion in limine directed to the absence of evidence or opinions regarding the alleged defective design or unreasonably dangerous condition of diacetyl, and the court asked for summary judgment briefing on the potentially dispositive issue. The court said that to show defective design under the Indiana Products Liability Act, a plaintiff “’must compare the costs and benefits of alternative designs and show that another design not only could have prevented the injury but also [is] cost-effective.’” Although the plaintiffs had obtained causation expert testimony and the court said it was “presuming without…
One day after a California resident filed a putative class action complaint against Krispy Kreme, she voluntarily dismissed the suit without prejudice with no explanation for the dismissal. Salem v. Krispy Kreme Doughnut Corp., No. 17-7487 (C.D. Cal., dismissal filed October 13, 2017). The complaint alleged that Krispy Kreme “purposefully, intentionally, and willfully” misled customers as to the sugar content and calorie count of their doughnuts. In addition, the plaintiff stated that she relied on the nutritional information provided in a store pamphlet that misleadingly advertised the chain’s apple fritter as only 210 calories per serving. The plaintiff claimed violations of California’s unfair competition and false advertising laws and the state Consumer Legal Remedies Act.
The Canadian Food Inspection Agency (CFIA) has reportedly banned sales and distribution of Soylent meal-replacement drinks because they “do not meet a select few of the CFIA requirements.” In a letter posted on Soylent’s website, Rosa Foods’ CEO Rob Rhinehart said the CFIA informed the company of its decision. Rhinehart said Soylent is working with CFIA regarding regulatory compliance issues and that the company is committed to making the product available to Canadian customers as soon as possible. "Although we feel strongly that these requirements do not reflect the current understanding of human nutritional needs, we respect the CFIA’s regulations and will fully comply with any regulatory action they deem appropriate," Rhinehart said in the letter.
The U.K. Advertising Standards Authority (ASA) has ruled that Kerry Foods Ltd.'s television advertisements for Richmond Sausages asserting that its products are “the nation’s favourite” are backed by independent third-party market research and did not breach advertising codes. After ASA received three complaints about the ads, Kerry Foods provided research showing the sausages were the highest-ranked for both value and unit sales in the 12 months preceding the dates the ads were aired. ASA found that while the ads did not contain information that would allow consumers to verify the comparison, the market research was sufficient to substantiate the claim.
JAMA Pediatrics has retracted a 2012 study authored by Brian Wansink, director of Cornell University’s Food and Brand Lab, because of “inadequate oversight of data collection and pervasive errors in the analyses and reporting.” The study, published in the Archives of Pediatrics and Adolescent Medicine, reported that children ages 8-11 were about 30 percent more likely to choose an apple with a cartoon-character sticker over a unbranded cookie, concluding that “brands and cartoon characters” could increase consumption of healthier foods in school lunchrooms. A reader reportedly sent Wansink a letter in February 2017 noting several errors and the study data was rechecked. In September, Wansink sent JAMA Pediatrics a notice of retraction and replacement acknowledging that the researchers “inadvertently provided an incorrect description of the study design and sample size, used an inadequate statistical procedure, and presented a mislabeled bar graph.” After that notice was published, Wansink said the Robert…
A Québec court has allowed to proceed a consumer's lawsuit alleging Sunwing Vacations Inc. misrepresented its "Champagne Service" because it served sparkling wine produced outside of the Champagne region of France. Macduff v. Sunwing Vacations Inc., No. 2017 QCCS 4540 (Québec Super. Ct., entered October 11, 2017). Sunwing argues that it uses the terms “champagne service” and “champagne vacation” to denote the level of service its hospitality packages provide rather than referring to a specific beverage served to customers. According to Canada’s National Post, about 1,600 potential class members have joined the lawsuit since it was filed.
Scotland’s Crown Office reportedly will not prosecute Errington Cheese for the death of a three-year-old linked to an outbreak of E. coli in 2016. A March 2017 Health Protection Scotland report apparently found Errington’s unpasteurized Dunsyre Blue cheese to be the “likely” source of the outbreak and the cause of the child’s death. The Crown Office reportedly concluded that the child died from complications of an E. coli infection, but it decided not to pursue criminal action. After the outbreak, a local council government banned the sale of some of Errington’s artisanal sheep’s-milk cheese, and the company reportedly plans to challenge the ban in early 2018.
The U.S. Food and Drug Administration (FDA) has sent a warning letter to Snyder’s-Lance, Inc. about the iron content of its Lance Toast Chee Crackers. The letter indicates that FDA conducted surveillance sampling purportedly showing that the company’s single-serve cracker packages contained about half of the “10% Daily Value for iron” listed on the product label. The original sample showed 51.7 percent of the amount claimed and the “check” sample showed 57.2 percent, according to the letter. Levels below 80 percent of the amount declared on the label violate federal law, FDA stated. In addition, the bar code “was intervening with” the nutrition label, and the label did not declare the street address of the firm as required unless it appears in a city or telephone directory.
A California federal court has allowed to proceed a putative class action challenging the use of “evaporated cane juice” (ECJ) on Late July Snacks LLC's product labels on the grounds that the Sherman Act does not require reliance on allegedly deceptive misrepresentation. Swearingen v. Late July Snacks LLC, No. 13-4324 (N.D. Cal., entered October 16, 2017). The plaintiffs alleged that Late July Snacks, which sells chips and cracker snacks, misled consumers by listing ECJ instead of sugar as an ingredient. The court held that because the plaintiffs had narrowed the class allegations to include only California purchasers and had standing to sue not only on products they purchased but “substantially similar” products named in the complaint, the matter could proceed on the Sherman Act and other state law claims. The court dismissed a claim for an injunction, holding that the plaintiffs had failed to allege they planned to buy the…
