Tag Archives California

A California consumer has filed a putative class action against Safeway Inc. alleging the grocery retailer’s tuna cans are under-filled by 10 to 20 percent based on federally mandated fill standards. Soto v. Safeway Inc., No. 15-5078 (N.D. Cal., filed November 5, 2015). The plaintiff contends that U.S. National Oceanic and Atmospheric Administration (NOAA) testing indicates Safeway’s 5-ounce tuna cans contain an average of 2.29 ounces of pressed cake tuna despite federal standards requiring cans of that size to contain at least 2.84 ounces of product. This result was consistent across 97.9 percent (94 of 96) of the tuna cans analyzed, according to the complaint. The plaintiff alleges breach of warranties, fraud, unjust enrichment, negligent misrepresentation and violations of California’s consumer protection statutes, and he seeks class certification, compensatory and punitive damages, an injunction and attorney’s fees.   Issue 584

The Animal Legal Defense Fund (ALDF) has filed a lawsuit against the U.S. Department of Agriculture (USDA) alleging a violation of the Administrative Procedure Act (APA) based on USDA’s lack of response to ALDF’s 2011 rulemaking petition requesting mandatory labeling on foie gras produced through the forced feeding of ducks or geese. Animal Legal Def. Fund v. U.S. Dep’t of Agric., No. 15-5063 (N.D. Cal., San Francisco Div., filed November 5, 2015). ALDF argues that force-fed foie gras products are mislabeled because USDA certifies them as “[i]nspected for wholesomeness” despite the fact that force-feeding “induces a metabolic disease and commonly results in the onset of all of the conditions mentioned in [USDA’s Poultry Products Inspection Act].” The organization seeks a declaration that USDA has violated the APA and an injunction compelling the agency to substantively respond to the petition. “The USDA is responsible for ensuring that all poultry products that…

CJ America Inc., maker of Annie Chun’s soup and noodle products, and a plaintiff have reached a settlement in a lawsuit alleging the company misled consumers by selling products with monosodium glutamate (MSG) while labeling the foods with the claims “No MSG Added” or “100 percent all natural ingredients.” Petersen v. CJ America Inc., No. 14-2570 (S.D. Cal., settlement agreement filed October 30, 2015). Under the agreement, CJ America will pay $1.5 million to a settlement fund distributed in $1.50 increments to purchasers of each eligible product, with a limit of 10 claims for class members without proofs of purchase. Any remaining funds will be directed to the Mayo Clinic, Action for Healthy Kids and National Farm to School Network. CJ America will also remove “No MSG Added” from its product packaging for a minimum of three years. Attorneys for the plaintiff seek 25 percent of the settlement fund ($375,000)…

A California federal court has dismissed without leave to amend several claims in a lawsuit alleging that Whole Foods Market fraudulently and misleadingly labeled its 365 Everyday Value ketchup, oatmeal and chicken broth as containing “evaporated cane juice” (ECJ) rather than “sugar.” Pratt v. Whole Food Mkt. Cal., Inc., No. 12-5652 (N.D. Cal., San Jose Div., order entered September 30, 2015). The plaintiff alleged that because Whole Foods failed to use the most common name for the ingredient—as mandated by U.S. Food and Drug Administration rules—the products were misbranded and “cannot be legally sold, possessed, have no economic value, and are legally worthless.” The court first dismissed strict liability allegations, finding that the plaintiff sought to impose a requirement inconsistent with federal law. Turning to the plausibility of the plaintiff’s allegations, the court found his reliance claims contradictory because one claim required him to know nothing about ECJ while the…

A California federal court has granted Foster Farms’ request for declaratory judgment finding that Lloyd’s of London must cover $14 million in costs related to a Salmonella outbreak linked to Foster Farms’ chicken processing facilities. Foster Poultry Farms Inc. v. Certain Underwriters at Lloyd’s London, No. 14-0446 (E.D. Cal., order entered October 9, 2015). Foster Farms’ policy with the insurer included coverage for “Accidental Contamination,” requiring the company to show (i) “an error in the production of its chicken product” and (ii) that consumption of the product “‘would ‘lead to’ bodily injury.” Lloyd’s challenged Foster Farms’ showing of the latter requirement, arguing the destroyed products were not actually contaminated with Salmonella. The court concluded the company had shown the products were contaminated because at the time the U.S. Department of Agriculture’s Food and Safety Inspection Service issued its Notice of Suspension, Foster Farms’ products had tested positive for Salmonella for…

California Governor Jerry Brown (D) has signed legislation (S.B. 27) that prohibits administration of a “medically important antimicrobial drug to livestock solely for purposes of promoting weight gain or improving feed efficiency” as of January 1, 2018. Under the statute, antibiotics may be used only when ordered by a licensed veterinarian through a prescription or veterinary feed directive. “The science is clear that the overuse of antibiotics in livestock has contributed to the spread of antibiotic resistance and the undermining of decades of life-saving advances in medicine,” Brown said. See Signing Message of Governor Edmund G. Brown Jr., October 10, 2015.

California Attorney General Kamala Harris has proposed amendments to the state’s Safe Drinking Water and Toxic Enforcement Act of 1986 (Prop. 65) that would require increased transparency and accountability in how the penalties paid by companies are spent by consumer groups, environmental organizations and other private enforcers of the law. In 2014, Prop. 65 actions reportedly resulted in payments of $29 million, of which $21 million was spent on attorney’s fees and costs. The proposed changes would require “clearly defined” purposes relevant to the violations that prompted the settlement. The proposal would also cap “in lieu of penalties” payments to ensure the Office of Environmental Health Hazard Assessment receives sufficient funding and raise the bar for demonstrating that settlements requiring reformulation confer a significant public benefit. Public comments about the proposed revisions will be accepted until November 9, 2015. “California has led the nation for decades in protecting our residents…

A California federal court has denied class certification in a lawsuit consolidated from four separate actions alleging that Hain Celestial Seasonings Teas were produced from ingredients sprayed with pesticides and contained pesticide residue, thus allegedly precluding Hain from labeling its teas as “natural.” In re Hain Celestial Seasonings Prods. Consumer Litig., No. 13-1757 (C.D. Cal., order entered September 23, 2015). In its answer to the complaint, Hain argued the plaintiffs conflated the definitions of “natural” and “organic” in their arguments, noting that under the plaintiffs’ standards, even an apple picked directly from a tree would not be “natural” had pesticides been applied during its growth. The court first chastised the plaintiffs for erroneous references and poorly timed supplemental filings. “Despite 18 months passing between the filing of this lawsuit and the filing of the Certification Motion, Plaintiffs effectively left the Court to drink from a fire hose, perhaps filled with…

A California federal court has denied the U.S. Department of Agriculture’s (USDA’s) motion to dismiss a lawsuit brought by environmental organizations challenging USDA’s issuance of a guidance document about the use of pesticides in compost without first having solicited public comment. Ctr. for Envt’l Health v. Vilsack, No. 15-1690 (N.D. Cal., order entered September 29). The Center for Food Safety (CFS), Center for Environmental Health and Beyond Pesticides challenged USDA’s actions on Administrative Procedures Act (APA) grounds, arguing the agency violated federal procedures by not allowing a formal rulemaking and public comment period about a guidance document permitting the use of compost with pesticides in the production of organic food. The court found that the organizations had sufficiently stated their claim under the APA and had standing to sue. “The agency’s unilateral action to allow compost contaminated with pesticides in organic production was contrary to federal rulemaking requirements as well…

People for the Ethical Treatment of Animals Inc. (PETA) has filed a lawsuit against Whole Foods Market claiming the grocery chain’s “5-Step® Animal Welfare Rating System” is a “sham” because Whole Foods fails to enforce the program against its chicken, turkey, pork and beef suppliers. PETA v. Whole Foods Mkt., Inc., No. 15-4301 (N.D. Cal., filed September 21, 2015). The complaint asserts that “the entire audit process for Whole Foods’ animal welfare standards is a sham because it occurs infrequently and violations of the standards do not cause loss of certification. Indeed, a supplier can be out of compliance for multiple years without losing its certification.” Further, the certification standards “barely exceed common industry practices, if at all.” The complaint coincides with an investigative report from PETA that purportedly exposes several program violations at a Pennsylvania pig farm that supplies to Whole Foods. “‘Humane meat’ is a myth that dupes…

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