The National Restaurant Association (NRA) has filed a lawsuit seeking to invalidate a New York City law requiring fast-food restaurants to remit voluntary deductions from employees' wages to nonprofit groups, including “ideological and political organizations with whom those employers may and do disagree.” Rest. Law Ctr. v. City of New York, No. 17-9128 (S.D.N.Y., filed November 21, 2017). NRA asserts that the city’s “Deduction Bill,” which took effect November 26, 2017, violates the free speech rights of restaurant owners by compelling them to subsidize nonprofits that advocate for labor-related issues such as higher minimum wages. The law resulted from lobbying by the Service Employees International Union (SEIU), the complaint argues, and is ultimately intended to force restaurants to allow unionization of fast-food employees. The Deduction Bill bars labor organizations from seeking remittances, but NRA asserts that “Fast Food Justice,” a group working toward registration as a qualifying nonprofit, shares a mailing…
Tag Archives New York
Two grocery chains face similar lawsuits filed by a New York plaintiff who argues the stores’ websites are inaccessible to the blind or visually impaired, allegedly violating the Americans with Disabilities Act (ADA). Jorge v. Key Food Mkt., Inc., No. 17-9306 (S.D.N.Y., filed November 28, 2017); Jorge v. Fairway Grp. Holdings Corp., No. 17-9309 (S.D.N.Y., filed November 28, 2017). The complaints assert that Key Food and Fairway Market stores have failed to make their websites accessible to screen-reading software, denying the plaintiff equal access to their facilities, goods and services. Alleging violations of the ADA as well as New York state and municipal human rights laws, the plaintiff seeks class certification, injunctive relief, damages and attorney’s fees.
A putative class action filed in New York has alleged that although the marketing for Simply Potatoes Mashed Potatoes features claims such as “Made with REAL Butter,” the product contains margarine made from genetically modified organisms (GMOs). Berger v. MFI Holdings Corp., 17-6728 (E.D.N.Y., filed November 17, 2017). “Despite the centrality of butter to [the product's] marketing and labeling,” the complaint asserts, “it also contains margarine as indicated on the ingredient list.” The plaintiff also alleges the product is sold at a premium price compared to similar refrigerated potato products. Claiming violations of New York consumer-protection laws and breach of implied warranty of merchantability, the plaintiff seeks class certification, damages, injunctive relief and attorney’s fees.
A federal court in New York has given final approval to the settlement of multidistrict litigation that alleged Frito-Lay North America, Inc. deceptively labeled and marketed its chip and dip products as “Made with All Natural Ingredients” when the products contained genetically modified ingredients. Frito-Lay N. Am., Inc., “All Natural” Litig., No. 12-MD-2413 (E.D.N.Y., entered November 14, 2017). Frito-Lay has agreed to modify its product labeling. While the class will not receive damages apart from $17,500 to class representatives, plaintiff's counsel will receive $1.9 million plus reimbursement of expenses up to $200,000.
A consumer has filed a putative class action alleging Pure Brazilian's "cold-pressed" coconut water undergoes high-pressure processing that “reduces the biological, enzymatic and bacterial activity” of the water, allegedly amounting to false advertising and fraud. Khallili v. Pure Brazilian LLC, No. 17-6425 (E.D.N.Y., filed November 5, 2017). The complaint asserts that high-pressure processing not only changes the nature of the product but increases its shelf life; “highly perishable” warnings on the bottle mislead consumers into believing the coconut water is unprocessed by making it appear similar to competing products that have a shorter shelf life, the plaintiff argues. The complaint also alleges that the product is sold at a premium price compared to coconut waters made with similar high-pressure processing. Claiming violations of New York consumer-protection laws, false advertising, fraud, implied warranty of merchantability and unjust enrichment, the plaintiff seeks class certification, damages, injunctive relief and attorney’s fees.
Forager Project faces a putative class action alleging that its "cold-pressed" juices undergo a second, high-pressure processing, allegedly amounting to misrepresentation on the product labeling. Berger v. Forager Project, LLC, No. 17-6302 (E.D.N.Y., filed October 28, 2017) The plaintiff asserts that after the juices are cold-pressed and bottled, Forager subjects the bottles to high-pressure treatment that reduces “the biological, enzymatic and bacterial activity which existed after cold-pressing to an extent that is material to reasonable consumers.” In addition, the plaintiff alleges that Forager does not disclose this second step on its labeling, misleading consumers who want cold-pressed juice because of its “greater integrity in composition than if it were made through a centrifugal machine.” The complaint further argues that the name “Forager Project” contributes to consumer deception because “[f]oraging has traditionally referred to the gathering of food from the natural, undisturbed environment.” Claiming violations of New York consumer-protection law, false advertising,…
New York City’s Metropolitan Transit Authority (MTA) board has passed a resolution banning all advertising for alcohol products over concerns that exposure to the ads “influences many young people to start drinking earlier and to drink more," which "leads to much higher public health and safety costs.” Although the primary purpose for MTA ads is to raise revenue, alcohol ads account for about $2.8 million annually, about 2 percent of the $144.8 million raised in 2016. Other cities that have instituted similar bans reportedly include Los Angeles, San Francisco, Detroit, San Diego and Baltimore; Chicago and Atlanta allow the ads, the board said, but “with restrictions that limit their exposure to young people.” The ban will take effect January 1, 2018, but MTA stopped contracting for additional advertising as of October 25, 2017.
Cookie Do Inc., which sells raw cookie dough desserts, allegedly caused consumers to feel gastrointestinal pain after they ate the products, which are advertised as “ready to eat,” with “NO chance of salmonella” and “NO chance of food-borne illness.” Canigiani v. Cookie Do, Inc., No. 17-7182 (S.D.N.Y., filed September 21, 2017). The complaint cites Yelp posts to argue that other consumers experienced similar symptoms and illnesses. Claiming violations of New York consumer-protection laws, fraudulent concealment, fraudulent inducement, negligent misrepresentation and unjust enrichment, the plaintiffs seek class certification, damages, injunctive relief and attorney’s fees.
A New York federal court has denied class certification to a plaintiff alleging that Fifth Generation, Inc. falsely advertised Tito's Handmade Vodka, ruling that the plaintiff failed to propose a model to measure the alleged price premium. Singleton v. Fifth Generation, Inc., No. 15-474 (N.D.N.Y., entered September 27, 2017). The court noted that the plaintiff had satisfied certification requirements, but because he testified that he did not intend to purchase the product again, he had no standing to seek injunctive relief. In addition, the plaintiff's failure to provide a "suitable model to measure the alleged price premium for Tito’s vodka due to the ‘handmade representation’” led the court to rule that common issues did not predominate over individual ones. Additional details appear in Issue 590 of this Update.
A former employee of Shake Shack Inc. has alleged he was fired after complaining about health and safety violations at one of the company’s New York City locations. Via v. Shake Shack Inc., No. 17-7049 (S.D.N.Y., filed September 14, 2017). The plaintiff alleges that managers of one location fired him after he complained that, among other allegations, they (i) failed to train employees about food allergies; (ii) allowed visibly sick workers to prepare food; and (iii) failed to properly clean the kitchen and equipment. Recent New York City health inspections cited the location for the presence of food/refuse/sewage-associated flies found in food and non-food areas, contaminated and cross-contaminated food and food contact surfaces that had not been sanitized. Claiming retaliation in violation of state laws, the plaintiff seeks $1 million in damages.
