An Illinois federal court has dismissed a lawsuit alleging that Kind misleadingly labeled its Vanilla Blueberry Clusters as having “no refined sugars” despite containing evaporated cane juice (ECJ) and molasses. Ibarrola v. Kind, LLC, No. 12-50377 (N.D. Ill., order entered March 12, 2015). The plaintiff had alleged that ECJ and molasses result from refining sugar cane—albeit less refining than what is required to produce table sugar—and as a result, the label’s claim of “no refined sugar” was fraudulent, breached an express warranty and violated the state’s consumer-protection law. The court found the plaintiff’s claim that she read the entire package, including the ingredients list, before purchasing the product contradicted her claim that she did not understand that the product contained partially refined sugars, noting that courts “have dismissed complaints premised on such logical inconsistencies.” The court also compared what she claimed to believe to what a reasonable consumer would believe upon…
Tag Archives evaporated cane juice
A California federal court has granted plaintiffs’ motion to vacate the judgment and reopened a proposed class action against Attune Foods Inc., finding that the delay in guidance from the U.S. Food and Drug Administration (FDA) on whether “sugar” is the “common or usual name” for “evaporated cane juice” (ECJ), an ingredient that appears on Attune’s labels, could unfairly disadvantage the plaintiffs’ case. Swearingen v. Attune Foods Inc., No. 13-4541 (U.S. Dist. Ct., N.D. Cal., Oakland Div., order entered January 28, 2015). Citing the primary jurisdiction doctrine, the court had dismissed the case without prejudice in May 2014 to await FDA guidance after the agency reopened the comment period in March of that year to determine whether sugar and ECJ are materially different substances. After the plaintiffs sought relief from the judgment, the court has now determined that FDA’s delay could unfairly disadvantage the plaintiffs if the statute of limitations prohibits…
A California federal court has granted Blue Diamond’s motion to decertify a statewide class of consumers who alleged that the company’s almond milk product labels were misleading because they cited “evaporated cane juice” on the ingredient list rather than the alleged common name for the substance, sugar. Werdebaugh v. Blue Diamond Growers, No. 12-2724 (N.D. Cal., order entered December 15, 2014). The court had preliminarily certified the class in May 2014 on the condition that the plaintiff could provide a damages model that limited recovery to those injured by the alleged mislabeling. Upon reviewing the proposed model, the court found fundamental flaws with the method of determining damages “because Dr. Capps’ model is incapable of isolating the damages attributable to Defendant’s alleged wrongdoing. Instead, Dr. Capps’ methodology measures the ‘combined effect’ of Blue Diamond’s brand value and Blue Diamond’s use of ‘evaporated cane juice’ and/or ‘All Natural’ on the prices…
A California federal court has granted a motion for reconsideration in a case alleging that Wallaby Yogurt Co. includes “evaporated cane juice” (ECJ) on its ingredient lists rather than what plaintiffs allege is the more common name, sugar. Morgan v. Wallaby Yogurt Co., No. 13-296 (N.D. Cal, order entered November 5, 2014). Wallaby had moved for reconsideration of prior orders allowing the case to proceed. The text-only docket indicates that the motion for reconsideration has been granted and the case stayed, with a written order to follow. The stay follows a series of similar actions in other cases after the U.S. Food and Drug Administration (FDA) announced in March 2014 that it would reconsider its 2009 draft guidance discouraging use of the term. In two similar putative class actions, courts have extended stays originally imposed in May 2014 because FDA has not yet issued further guidance. Figy v. Lifeway Foods, No.…
Global Product Liability Partners Gregory Fowler and Marc Shelley have co-authored an article titled “Food and beverage labelling and advertising in the United States: Regulatory and litigation landmines,” appearing in the September 2014 issue of the International Bar Association’s Product Law and Advertising Newsletter. The article considers the public and private challenges facing U.S. food and beverage companies that promote their products as beneficial to health, “natural” or “all natural,” or include in their products genetically modified ingredients, high-fructose corn syrup or “evaporated cane juice.” The authors address trends in consumer-fraud lawsuits and settlements, competitor litigation and suits brought by morality and decency watchdogs. The article concludes by recommending the inclusion of a legal team in marketing strategies to enhance the likelihood that companies will successfully navigate these risks while distinguishing themselves in the marketplace. Issue 542
A California federal court has approved a settlement in a case accusing Guayaki Sustainable Rainforest Products Inc. of misleading its customers by listing “organic evaporated cane juice” (ECJ) as an ingredient of its yerba mate products. Cowan v. Guayaki Sustainable Rainforest Prods. Inc., No. 14-1248 (U.S. Dist. Ct., N.D. Cal., order entered September 16, 2014). The terms of the settlement agreement are confidential. The plaintiff’s suit was part of a deluge of putative class actions alleging product mislabeling because the companies included ECJ on their ingredient lists rather than, plaintiffs have argued, the more common and accepted term for the substance, sugar. Many of these cases have been dismissed without prejudice or stayed while courts and parties await promised guidance on the issue from the U.S. Food and Drug Administration. Additional information on recent cases appears in Issues 534, 532 and 530 of this Update. Issue 538
The Ninth Circuit Court of Appeals has denied a request for interlocutory review of a class certification ruling in an action alleging that Blue Diamond Growers’ almond milk is mislabeled as “All Natural” and the company hides its added sugar content by listing “evaporated cane juice” (ECJ) on its label instead. Blue Diamond Growers v. Werdebaugh, No. 14-80084 (9th Cir., order entered August 22, 2014). Additional details about the suit appear in Issue 525 of this Update. Blue Diamond challenged the district court’s ruling that the class was ascertainable, arguing that the decision “exacerbates a split of authority amongst district courts in this Circuit over the threshold showing that putative class representatives must make to demonstrate an ascertainable class in food mislabeling cases. The Third Circuit Court of Appeals—the only circuit to squarely resolve the issue—holds that sales records or other reliable evidence of product purchases must be available for a…
Following similar decisions from courts across the country, two California federal courts have delayed final rulings in cases accusing Kashi and Trader Joe’s of mislabeling their products by using the term “evaporated cane juice” (ECJ) in their ingredient lists rather than simply “sugar,” which the plaintiffs allege is the same substance. Gitson v. Trader Joe’s Co., No. 13-1333 (N.D. Cal., order entered August 7, 2014); Saubers v. Kashi Co., No. 13-899 (S.D. Cal., order entered August 11, 2014). In the proposed class action against Kashi, the plaintiffs accused the Kellogg-owned company of “misbranding” more than 75 different food products by listing ECJ instead of sugar on its labels to conceal its inclusion in the foods. The court found that the plaintiffs’ claims relied “heavily, if not entirely, on the premise that the [U.S. Food and Drug Administration (FDA)] has concluded that ‘evaporated cane juice’ is not the common or usual name…
A plaintiff has accused cereal company Organic Milling of mislabeling its Nutritious Living Hi-Lo brand cereals as “100% natural” despite allegedly containing synthetic and heavily processed ingredients and being produced with genetically modified (GM) crops. Mirto v. Organic Milling, No. BC553780 (Super. Ct. Cal., Los Angeles Cty., filed Aug. 5, 2014). The complaint alleges first that the use of GM crops in the cereal’s production precludes the company from using the phrase “100% natural” on its marketing materials, citing definitions from the World Health Organization and Environmental Protection Agency to argue that “GM crops are not ‘natural,’ and products made from these crops, including [Organic Milling’s products], are not ‘100% natural.’” The complaint further argues that Organic Milling’s use of canola oil in Hi-Lo cereal is not “100% natural” either because of the heavy processing required to produce the oil. The plaintiff also objects to the use of emulsifier soy…
A federal court in California has dismissed for lack of standing a putative class action alleging that Pacific Foods of Oregon, Inc. misleads consumers by using the term “evaporated cane juice” (ECJ) on its food labels instead of sugar. Swearingen v. Pac. Foods of Ore., Inc., No. 13-4157 (N.D. Cal., order entered July 30, 2014). Plaintiffs Mary Swearingen and Robert Figy are named plaintiffs in a number of ECJ-related cases that have recently been stayed under the primary jurisdiction doctrine as the U.S. Food and Drug Administration considers its position on use of the term by food makers. Two such cases are summarized in Issue 529 of this Update. The court did not address this issue here, because it dismissed the case on pleading grounds. According to the court, the plaintiffs did not allege that they purchased the company’s products “in reliance on any alleged misrepresentations that evaporated cane juice is…
