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While the Dairy Farmers of America (DFA) and affiliated Dairy Marketing Services have agreed to pay $50 million to settle class claims that they conspired to monopolize the market for raw milk in the Northeast, a federal court in Vermont has denied preliminary approval of the proposed settlement without prejudice. Allen v. DFA, Inc., No. 09-0230 (U.S. Dist. Ct., D. Vt., order entered July 9, 2014). Details about the litigation appear in Issue 323 of this Update. The court pointed to a number of flaws in the draft class notice, including that it released the defendants and a number of related entities and extended beyond the legal claims in the lawsuit without making this clear to class members. The basis for its ruling, however, was that some class members apparently plan to object to the settlement, but no information about their objections was provided in the expedited motion for preliminary approval…

Public Health attorney and author Michele Simon has issued a report titled “Whitewashed: How Industry and Government Promote Dairy Junk Foods.” According to Simon, dairy foods have gotten “a pass” as the public health community focuses on “obvious culprits such as soft drinks and fast food” to address the nation’s “public health epidemic due to poor diet.” The report explains how plain liquid milk consumption has fallen in the United States and been replaced by its consumption as flavored milk, with cereal or in a drink. Simon claims that today half of the milk supply makes 9 billion pounds of cheese and 1.5 billion gallons of frozen desserts, such as ice cream, and 11 percent of all sugar is used in dairy product production. She refers to these products as “dairy junk foods” loaded with saturated fat, sugar and salt. The report focuses on the government’s collection of industry fees…

Two consumers have filed a putative class action against dairy cooperative Darigold Inc., a subsidiary of Northwest Dairy Association, for false advertising and fraud by concealment, alleging that the company misrepresented the conditions in which its milk is produced. Ruiz v. Darigold Inc., No. 14-2054 (N.D. Cal., May 5, 2014). Yesenia Ruiz and Fernando Dorantes argue that they would not have purchased Darigold’s products if they had known about the purportedly poor conditions in which its employees work and its cows are milked. According to the complaint, Darigold employees are denied drinkable water, break periods and lunch rooms, and some of its cows are sick and injured but are milked anyway. The plaintiffs also assert claims under California’s Unfair Competition Law; the unjust enrichment laws of California, Washington and Oregon; Washington’s Consumer Protection Act; and Oregon’s Unlawful Trade Practices Act.   Issue 523

U.S. Sens. Charles Schumer (D-N.Y.) and Pat Toomey (R-Pa.) have written a March 11, 2014, letter to the U.S. Trade Representative (USTR) and U.S. Department of Agriculture (USDA), urging the agencies to reject the European Union’s (EU’s) request that product names such as feta, parmesan and muenster be reserved as “geographical indicators.” As part of ongoing Trans-Atlantic Trade and Investment Partnership (TTIP) negotiations, the EU has reportedly claimed that common cheese names “can only be appropriately displayed on products made in certain areas of Europe.” To this end, it has apparently used free trade agreements (FTAs) with other countries to restrict U.S. exports “under the guise of protection for its geographical indicators.” But the U.S. dairy industry has vociferously criticized the proposal, noting that names like cheddar and provolone are familiar to consumers and widely accepted on the global market. Signed by more than 50 senators, the letter asks USTR…

The U.K. Advertising Standards Authority (ASA) has ruled that an advertisement for a range of lactose-free products made “sufficiently clear that the Lactofree products were not suitable for dairy allergy sufferers but were suitable for those intolerant to lactose.” Responding to a complaint alleging that the ad failed to adequately differentiate between lactose intolerance and dairy allergy, Arla Foods Ltd. reportedly noted that its TV commercial included an on-screen footnote stipulating that the products displayed were “Not suitable for milk allergy  sufferers,” and that consumers in doubt should consult their physician. Warning that the ad’s voice-over—“Listen up hedgehogs, you’re not intolerant to dairy, you’re just intolerant to lactose, the sugars in dairy”—could be misunderstood as a stand-alone statement, ASA nevertheless agreed with Arla’s position, dismissing the complaint on the ground that the on-screen text not only provided a clear reference to milk allergy, but also instructed consumers to “Search Lactofree”…

A recent study has reportedly revealed that organic milk contains a healthier balance of omega-6 and omega-3 fatty acids compared with milk from cows raised on conventionally managed dairy farms. Benbrook, et al., “Organic Production Enhances Milk Nutritional Quality by Shifting Fatty Acid Composition: A United States–Wide, 18-Month Study,” PLOS One, December 9, 2013. The finding, writes New York Times writer Kenneth Chang, is the “most clear-cut instance of an organic food’s offering a nutritional advantage over its conventional counterpart,” as “studies looking at organic fruits and vegetables have been less conclusive.” According to the researchers, who note that the ratio of omega-6 to omega-3 fatty acids in the U.S. diet have risen to “nutritionally undesirable levels,” the healthier fatty acid profile of organic milk is likely a result of cows foraging on grass. By comparison, cows fed a corn-based diet apparently produce milk that contains higher levels of omega-6 fatty acids, which…

A recent Alternet.org article titled “23 Gallons a Day from One Cow? Industrial Agriculture Engaged in Extreme Breeding,” has questioned the longstanding practice of selectively breeding livestock to produce animals that are highly efficient and productive. While acknowledging that “breeding animals to exaggerate traits humans find useful is hardly new,” author Jill Richardson claims that industrial agriculture has taken the practice to new extremes that compromise the ability of animals to live natural lives. “Some of these changes are a result of growth hormones, lighting, feed, and (for dairy cows) more frequent milkings,” she writes, “but a lot of t is breeding and industrial agriculture has taken it to an extreme … [A] look at the variety of chicken breeds kept by small farms, hobbyists, nd backyard chicken owners shows just how much humans have successfully meddled in chicken genetics. You can find chickens adapted to iving in hot weather…

A coalition of U.K. dairy groups, including Dairy UK, the National Farmers Union and British Cheese Board, has published an August 1, 2013, letter in The Daily Telegraph, urging the European Commission (EC) to tighten regulations governing country-of-origin labeling (COOL). Stating that current regulations permit imported dairy products to be stamped with “UK marks,” the coalition has requested that only dairy products made in “this country, from milk produced by Britain’s dairy farmers should be labeled as British.” “Unlike other food products . . . country of origin labeling is not mandatory on dairy products and we think that it should be,” said a spokesperson for the coalition. “Many consumers want to buy British dairy products and support British dairy farmers. The current labeling arrangements don’t ensure that they have the information to be able to do that.” According to news sources, of particular concern to the coalition are dairy…

The U.S. Department of Agriculture’s (USDA’s) Office of Inspector General (OIG) has released a July 2013 audit report examining how the Agricultural Marketing Service’s (AMS’s) National Organic Program (NOP) established the “access to pasture” rule for organic dairy cattle. Although OIG generally found that the new rules for organic milk production were “successfully implemented,” it nevertheless recommended that AMS clarify guidance for certifying agents “to ensure that all dairy producers are being treated consistently.” To this end, the audit noted that NOP (i) “had not clearly defined how producers should demarcate herds of organic milk-producing cattle, which meant that some certifying agents allowed producers to add cattle to organic herds,” and (ii) “needs to include organic feed brokers within the NOP-certification process to ensure that organic feed is not commingled or contaminated.” OIG also reported that certifying agents failed to take consistent enforcement actions “when their inspectors or reviewers identified…

The U.K. Advertising Standards Authority (ASA) recently upheld three out of four complaints brought by the Youth Alcohol Advertising Council (YAAC) against Fireball Whiskey distributor Hi Spirits Ltd. over social media advertisements that allegedly promoted excessive drinking. In particular, the complaints focused on Fireball Whiskey’s Facebook page, which, in addition to advertisements depicting young women pouring or consuming alcohol, a young man “lying face down on a bed” and teddy bears branded with the whiskey’s logo, apparently featured (i) “a poster in style of ‘Keep Calm and Carry On’” with the tagline “TAKE A SHOT AND IGNITE THE NITE” and a caption asking users to “Like if you think this is a good plan for the weekend!”; (ii) a status update asking users to submit their “Fireball stories from the weekend” to win “Fireball freebies!”; and (iii) a status update asking students undergoing final exams to “Like this status and…

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