White Chocolate False Ad Suit Filed Against Ghirardelli in Puerto Rico

A consumer has filed a putative class action against Ghirardelli alleging
that the company deceptively advertised its white chocolate products as
containing chocolate, white chocolate or cocoa butter. Vega-Encarnacion
v. Ghirardelli Chocolate Co., No. 15-1821 (D.P.R., filed June 16, 2015).
Three of the products at issue in the complaint were the subjects of
an October 2014 class action settlement open only to consumers who
purchased the product “in the United States,” so the Puerto Rican
consumer seeks to represent those similarly situated in U.S. territories.
Additional details about the settlement appear in Issue 540 of this
Update.

The complaint cites the U.S. Food and Drug Administration’s (FDA’s)
definitions of “chocolate” and “white chocolate,” which include required
levels of cacao-derived products such as cocoa butter. Ghirardelli’s
white-chocolate products—baking chips, confectionery coating wafers
and ground white chocolate flavor—do not contain any white chocolate
as defined by FDA, but merely white-chocolate flavoring, the plaintiff
argues. He seeks class certification, an injunction and damages for his
allegations of breach of warranty and unjust enrichment.

Issue 569