Voters in Richmond and El Monte, California, have rejected measures that would have taxed soda and other sugar-sweetened drinks at a penny-per-ounce rate. According to media sources, Richmond City Councilmember Jeff Ritterman initially proposed Measure N as a way to discourage residents from consuming sugary drinks, which he identified as a prime culprit behind the rise in diabetes, obesity, heart failure, and other related issues. “I’m disappointed, but overall I think this has been a positive for Richmond,” said Ritterman. “It’s started a great conversation in this community. I think President Obama should (propose a soda tax). [Governor] Jerry Brown should. This is just the beginning of the wave.” See San Francisco Chronicle, November 7, 2012. While 67 percent of Richmond’s electorate apparently voted against Measure N, 77 percent of voters in the Los Angeles suburb of El Monte also rejected a soft drink tax—an outcome that a November 7 Huffington Post…
Tag Archives California
San Francisco City Attorney Dennis Herrera has sent a letter to Monster Beverage CEO Rodney Sacks, asking the company to provide proof that the large dosages of caffeine contained in its popular Monster energy drinks are “completely safe” for consumption by adolescents and adults. Monster Beverage Corp. has come under increased scrutiny following reports last week to the Food and Drug Administration (FDA) that the product may be linked to as many as five deaths since 2009. Herrera issued the letter under provisions of California’s Unfair Competition Law that empowers city attorneys to demand evidence for purportedly fact-based advertising claims. “Although you claim that Monster Energy drinks are ‘completely safe,’” Herrera writes, “there is increasing evidence that the high caffeine levels in your products are dangerous, particularly for the youth whom you target with your advertising. As numerous scientific studies have concluded, consuming large amounts of caffeine can have serious health…
A California appeals court has determined that the Office of Environmental Health Hazard Assessment (OEHHA) may not add styrene or vinyl acetate to the Proposition 65 (Prop. 65) list of chemicals known to the state to cause cancer because they have been identified as “possible” but not known carcinogens. Styrene Info. & Research Ctr. v. OEHHA, No. C064301 (Cal. Ct. App., 3d Dist., decided October 31, 2012). Styrene is used in food packaging. The International Agency for Research on Cancer (IARC) had categorized the substances as Group 2b chemicals, which are “possibly” carcinogenic to humans, based on less than sufficient evidence of carcinogenicity in experimental animals. The court acknowledged that the California Health and Safety Code requires that the Prop. 65 list contain “at a minimum, the substances identified by reference in Labor Code section 6382, subdivision (d),” which addresses “hazardous substances” that extend “beyond those that cause cancer or…
Golden Eagle Insurance Corp. has filed a complaint for declaratory relief against its insured Moon Marine (U.S.A.) Corp., requesting that the umbrella policy it issued to the insured be rescinded because Moon Marine allegedly concealed material facts when it obtained the policy. Golden Eagle Ins. Corp. v. Moon Marine (U.S.A.) Corp., No. 12-5438 (N.D. Cal., filed October 22, 2012). According to the complaint, Moon Marine knew that its imported yellowfin tuna (scrape) was linked to a nationwide Salmonella outbreak that sickened more than 400 individuals and had, in fact, recalled the product, when the $2-million excess insurance policy was obtained. The plaintiffs allege that Moon Marine failed to inform the insurance carrier’s underwriter that the fish importer faced “obvious liability exposure for bodily injury claims from the nationwide salmonella outbreak that had been linked to Moon Marines’ importation of Scrape.” The first lawsuit was actually filed two days before the plaintiffs quoted and bound…
The parents of a 14-year-old girl who allegedly died after consuming two 24-ounce Monster Energy® drinks in a 24-hour period have filed a wrongful death and strict product liability lawsuit against Monster Beverage Corp. in a California state court. Crossland v. Monster Beverage Corp., No. RIC 1215551 (Cal. Super. Ct., Riverside Cty., filed October 17, 2012). They claim that the teen went into cardiac arrest and was placed in an induced coma at Johns Hopkins Hospital to reduce brain swelling. After six days, life support was terminated, and the girl died. The plaintiffs allege that the autopsy report attributed her death to “cardiac arrhythmia due to caffeine toxicity complicating mitral valve regurgitation in the setting of Ehlers-Danlos syndrome.” The complaint contends that two of the company’s energy drinks contain 480 milligrams of caffeine, the equivalent of 14 12-ounce cans of caffeinated soda. Among other matters, the plaintiffs allege that the…
A federal jury in California has reportedly determined that Benihana properly classified three restaurant managers as exempt thus concluding wage-related litigation against the chain. Originally filed as a putative class action in state court, the case initially included claims about overtime wages, accrued vacation pay, rest and meal breaks, and itemized wage statements. By the time the case was tried after removal to federal court, it involved just three named plaintiffs and the overtime dispute. According to a news source, the company nearly derailed the case by alleging that one of the employees had copied and destroyed thousands of files from a computer at the company’s Cupertino, California, location. The court levied sanctions against the employee and dismissed him from the case, but then determined that the conduct, alleged to be “wrongful self-help discovery” and the deletion of stolen copies, may not have been “beyond the pale” because some evidence…
A federal court in California has given final approval to the $2.6 million settlement of a class action alleging that Diamond Foods falsely represented that the omega-3 in its walnuts provides health benefits. Zeisel v. Diamond Foods, Inc., No. 10-01192 (N.D. Cal., decided October 16, 2012). Additional information about the case appears in Issue 436 of this Update. While additional claims may be filed by class members until October 26, as of September 7, more than 23,000 class members had submitted claims, and they have been submitted at a rate of about 1,000 each week. The court issued its ruling after the parties provided supplemental briefing on the cy pres issue. Under the unpublished final disposition, the court indicated that any residual funds will be provided to the American Heart Association, which “provides education on issues relating to heart healthy food, including education about how to read food labels.” The court…
The United Farm Workers has reportedly filed a lawsuit against the California Division of Occupational Safety and Health (Cal/OSHA) over its alleged “systemic failure” to enforce a 7-year-old regulation requiring farmers to provide water, shade and rest to employees to prevent heat illness or death. Bautista v. Cal/OSHA, No. ___ (Cal. Super. Ct., Los Angeles Cty., filed October 18, 2012). The union contends that “[a]t least 28 farm workers have died of potentially heat-related causes since the regulation was first approved in 2005. This year alone, Cal/OSHA is investigating heat as a factor in the deaths of four people.” The complaint, filed on behalf of individual farm workers, the United Farm Workers (UFW) and UFW Foundation, alleges, among other matters, that Cal/OSHA has failed to (i) “conduct on-site inspections for complaints”; (ii) “evaluate the conditions alleged in a complaint when it does conduct inspections”; (iii) “issue citations for serious, repeat,…
A California resident has filed a putative class action against Campbell Soup Co. alleging that it falsely represents that some of its products are “100% Natural” when they in fact contain genetically modified organisms (GMOs) “in the form of soy, corn, soy derivatives, and or corn derivatives.” Barnes v. Campbell Soup Co., No. 12-05185 (N.D. Cal., filed October 5, 2012). Specifically targeted in the complaint are the company’s “100% Natural Southwest-Style White Chicken Chili” and “100% Natural Healthy Request® Mexican-Style Chicken Tortilla Soup.” The plaintiff alleges that he “would not have purchased the Products if he had known that the Defendant’s Products are not ‘100% Natural’ because they contain GMOs.” Seeking to certify a statewide class of product purchasers, the plaintiff alleges violations of California’s Unfair Competition Law, False Advertising Law and Consumers Legal Remedies Act. He requests injunctive relief; restitution; disgorgement; attorney’s fees; actual, statutory and punitive damages; costs; and interest.…
A California court has reportedly denied a motion to certify a class of Hard Rock Café employees who allege that the restaurant chain wrongly classified them as exempt employees and then forced them to assume the tasks of non-exempt employees without paying them overtime or allowing them to take meal periods and rest breaks, and otherwise provided inaccurate wage statements. In re Hard Rock Café Wage & Hour Cases, No. JCCP 4549 (Cal. Super. Ct., Orange Cty., decided October 3, 2012). According to the restaurant chain’s counsel, the court determined that the putative class of kitchen managers lacked numerosity, the identity and number of class members could not be ascertained, and the named representative could not adequately represent the class. The court also apparently found that individual analysis of each employee’s work activities would be required to decide whether they had been properly classified as exempt. Counsel for named plaintiff…
