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The Food and Drug Administration (FDA) is evaluating current allowable levels of inorganic arsenic in apple juice in response to consumer groups’ demand for tighter restrictions. In a November 21, 2011, letter to Food & Water Watch and the Empire State Consumer Project, FDA said, “we are seriously considering setting guidance or other level for inorganic arsenic in apple juice and are collecting all relevant information to evaluate and determine an appropriate level.” Earlier this year, Mehmet Oz, M.D., highlighted concerns about arsenic in apple juice during his nationally syndicated TV show, details of which were highlighted in Issue 410 of this Update. According to FDA guidelines, apple juice cannot contain more than 23 parts per billion (ppb) of inorganic arsenic, which is found in pesticides and can be harmful if consumed at high levels over a long period of time. FDA Deputy Commissioner Michael Taylor told a news source…

The First Circuit Court of Appeals has upheld a district court ruling that Welch Foods, Inc. was not entitled to defense costs and indemnity under an insurance contract which provided an exclusion for claims involving unfair competition and deceptive trade practices. Welch Foods, Inc. v. Nat’l Union Fire Ins. Co. of Pittsburgh, PA, No. 10-2261 (1st Cir., decided October 24, 2011). Welch was named as a defendant in two lawsuits alleging that the company misrepresented its 100% Juice White Grape Pomegranate Flavored Three Juice Blend® by featuring pomegranates on the product’s label because the juice is primarily apple and grape juice. The company sought defense costs and indemnity from three of its insurers, and two of them settled the claims. As to the third company, the court determined that while the exclusion terms “unfair competition” and “deceptive trade practice” were not defined in the insurance contract at issue, their plain…

A Texas resident has filed a putative nationwide class action against the Naked Juice Co., alleging that its “100% Juice,” “100% Fruit,” “All Natural,” and “non-GMO” beverage products are falsely labeled because they contain synthetic and genetically modified (GM) ingredients. Sandys v. Naked Juice Co., No. 11-8007 (C.D. Cal., filed September 27, 2011). The complaint claims that the defendants concealed the nature, identity and source of their products’ added ingredients, such as vitamins and “natural flavors,” and that the plaintiff paid a premium price for falsely labeled products and ingested substances she did not expect and did not consent to. The plaintiff also contends that some of the product ingredients are harmful to human health and the environment as well as to the workers who produce them. Alleging numerous violations of state and federal consumer fraud and product warranty laws, negligence and negligent misrepresentation, strict liability, assault and battery, and conspiracy,…

The Food and Drug Administration (FDA) recently issued a consumer update reassuring the public about the safety of apple juice after a TV talk show claimed that certain brands contain high levels of arsenic. Mehmet Oz, who hosts “The Dr. Oz Show,” apparently sent 50 apple juices samples to EMSL Analytical, Inc., which measured total arsenic levels as high as 36 parts per billion (ppb) in one sample. After learning of the results, FDA sent two letters to the show’s producers asking them not to air the segment, not only because the results seemed “erroneously high” but also because the laboratory only considered the total amount of arsenic. “As we have previously advised you, the results from total arsenic tests CANNOT be used to determine whether a food is unsafe because of its arsenic content,” stated FDA in its September 9, 2011, letter. “We have explained to you that arsenic occurs…

POM Wonderful LLC, which has created a market for pomegranate juice beverages and other products, has sued Backside Beverages, LLC, alleging that the company has infringed POM’s trademark with its Pompis energy drink. POM Wonderful LLC v. Backside Beverages, LLC, No. 11-760 (D. Utah, filed August 22, 2011). POM’s complaint includes a comprehensive description of the actions it has taken and the $300 million it has spent to promote and protect its brand and trademarks since first introducing fruit-based beverages in 2002. According to the complaint, the defendant has tarnished POM’s registered trademarks “because ‘pompis’ is a slang Spanish term for ‘backside,’ that is, ‘backside’ of a person. In English, ‘pompis’ is equally derogatory,— combining the term POM and the term ‘pis’ which phonetically sounds like ‘piss’.” POM contends that such derogatory use of its marks intentionally trades on its goodwill “while at the same time tarnishing the POM brand.”…

A number of fruit juice manufacturers have filed a motion to dismiss the multidistrict litigation (MDL) consumer fraud lawsuits pending in a Massachusetts federal court. In re: Fruit Juice Prods. Mktg. & Sales Practices Litig., MDL No. 2231 (D. Mass, motion filed July 29, 2011). The lawsuits, involving plaintiffs from California, Colorado, Florida, and Massachusetts, allege violations of state consumer protection laws, breach of warranty and unjust enrichment in the sale and promotion of fruit juices purportedly containing lead. The motion asserts that the plaintiffs lack standing because they “have suffered no economic injury,” their pleadings do not allege facts showing a plausible injury, the Nutrition Labeling and Education Act preempts the claims, the suits were brought “under the laws of states in which Plaintiffs do not live and did not purchase any of Defendants’ products,” and the plaintiffs have failed to state any claim under the laws of their home…

Consumer advocacy organizations have written to Food and Drug Administration (FDA) Commissioner Margaret Hamburg to report the results of tests conducted on apple juice, showing arsenic levels above federal tolerance levels for drinking water. The organizations, Food & Water Watch and the Empire State Consumer Project, urge FDA to “establish tolerance levels for arsenic in food” and “to focus its import surveillance resources on imported juice concentrate as a product of concern and increase its testing of those imported products.” One apple juice sample apparently contained 55 parts per billion (ppb) of arsenic; the U.S. Environmental Protection Agency’s drinking water tolerance level for arsenic is 10 ppb. According to the groups’ letter to FDA, the agency has admitted that it has “established a ‘level of concern’ when arsenic levels exceed 23 parts per billion, but has no actionable levels for regulatory purposes.” See Food & Water Watch News Release, July…

Plaintiffs alleging that they were misled by the purportedly unsubstantiated claims Nestlé USA Inc. made about its Juicy Juice® Brain Development and Immunity products have filed an appeal to the Ninth Circuit Court of Appeals from a district court order dismissing their consolidated class action. Chavez/ Bonsignore v. Nestlé USA, Inc., No. 09-9192 (C.D. Cal., notice of appeal filed June 22, 2011). The lower court apparently gave the plaintiffs two opportunities to state a cognizable claim under California’s unfair competition and false advertising laws before dismissing the action in May 2011. According to the court, the plaintiffs’ second amended complaint “as with previous versions of the plaintiffs’ pleading in this action, is that it lumps together distinct products and multiple factual allegations without giving the reader a clear sense of which allegations support which specific claims.” See Law360, June 23, 2011.

Alabama and Indiana residents have filed a putative class action alleging violation of state consumer protection laws by a company that promotes its orange juice as “not from concentrate juice” and “100% pure Florida squeezed,” when it allegedly “contains orange juice concentrate and water.” Leftwich v. TWS Mktg. Group, Inc., No. 11-01879 (D. Ala., filed June 2, 2011). Seeking to certify a nationwide class of consumers, the plaintiffs refer to a Food and Drug Administration letter warning the defendant that its labeling violated the Federal Food, Drug, and Cosmetic Act. The plaintiffs contend that they were misled by the product labeling and that the alleged misrepresentations were a substantial factor in influencing their decisions to purchase the products. They allege a loss of money, because they were “deprived of the benefit of their bargain.” The plaintiffs allege violations of consumer protection laws, breach of express warranty and unjust enrichment. Claiming…

A man who claims that his consumption of Ocean Spray’s 100% Cranberry Pomegranate Juice® caused his food poisoning and other related injuries, has filed an individual action against the company, retailers and a testing laboratory in an Illinois state court. Mihalopoulos v. Ocean Spray Cranberries, Inc., No. 2011L005420 (Ill. Cir. Ct., Cook Cty., filed May 25, 2011). The plaintiff alleges that the product was contaminated with a “fungus known as Penicillium Glabrum.” Part of the complaint alleges that a testing laboratory confirmed the presence of the fungus in the product, but failed to preserve the juice sample, which the plaintiff contends will prejudice his ability to prosecute the remainder of his claims. Alleging strict products liability, negligence and spoliation of evidence, the plaintiff seeks damages in excess of $50,000 for his “severe and permanent injury,” medical costs and future economic losses.

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