Subject: Food Products

“Vanilla” Ice Cream Deceptive Labeling Case Melts on Motion to Dismiss

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A federal court in New York recently granted a motion to dismiss claims that ice cream labeled “vanilla” misleads consumers into believing the product’s flavor comes exclusively from vanilla beans or extract, when in fact other natural flavors contribute to the vanilla taste. The decision may be a harbinger of what is to come in similar cases challenging the label description of vanilla and other flavors in products ranging from ice cream to soy milk to energy drinks. The decision also shows that alleged regulatory violations and product testing do not necessarily support a plausible claim of consumer deception.

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Ninth Circuit’s Ingredients List Rule Keeps Nestlé in Hot Water with Denial of Nestlé’s Statute of Limitations-Based Summary Judgment Motion

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The Northern District of California recently applied the Ninth Circuit’s ingredients list rule in a putative class action decision. The Court refused to grant Nestlé USA Inc.’s summary judgment motion based on the statute of limitations in a suit involving allegations that Nestlé misleads consumers about the trans-fat content of their Coffee Mate creamer products. The Court held that a triable issue of fact remained because it was not clear when the consumer first learned about the alleged deception.

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California Consumers Can’t Escape Federal Jury Trial by Abandoning Available Damages Claims

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The Ninth Circuit affirmed dismissal of a consumer fraud class action pursuing restitution under California’s Unfair Competition Law (UCL) because the plaintiff failed to show she lacked an adequate legal remedy. Sonner v. Premier Nutrition, No. 18-15890 (9th Cir. June 18, 2020). In doing so, the Ninth Circuit resolved a split in the California federal courts regarding whether plaintiffs may pursue solely equitable relief under the UCL, Consumer Legal Remedies Act (CLRA), or False Advertising Law (FAL) when legal damages under the CLRA are available in the same amount for the same alleged harm. This decision has important implications for consumer class actions in California federal courts.

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Sweet Escape: Tootsie Roll Label Changes Stop Plaintiff’s Slack-Fill Case Without Triggering Catalyst Fee Award

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The Ninth Circuit recently rejected a plaintiff’s request for attorneys’ fees under the so-called catalyst theory where the changes the defendant made in an effort to effectively moot the case were different from the changes the plaintiff had demanded in the litigation. The decision illustrates that a creative fix to an alleged issue may deter a plaintiff’s counsel from pursuing the case without entitling them to a fee award under the catalyst theory.

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Vermont Federal Court Orders Ben & Jerry’s “Happy Cows” Lawsuit Out to Pasture

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A Vermont federal court dismissed a lawsuit alleging consumer fraud, breach of warranty, and unjust enrichment against Ben & Jerry’s because representations about its dairy from “happy cows” did not run afoul of the law. But the court granted the plaintiff twenty days to amend.

In Ehlers v. Ben & Jerry’s Homemade Inc., et al., Civil Action No. 2:19-cv-00194, a Vermont plaintiff sued defendants Conopco, Inc. d/b/a Unilever United States (Unilever) and its subsidiary Ben & Jerry’s Homemade Inc. (Ben & Jerry’s) on behalf of a proposed class seeking compensatory damages and injunctive relief. The plaintiff alleged that statements on Ben & Jerry’s ice cream cartons and website were materially misleading in violation of the Vermont Consumer Protection Act (VCPA) and constituted breach of an express warranty. The plaintiff also asserted a claim for unjust enrichment.

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Ingredient Lists Still Matter: California Federal Court Dismisses White Baking Chips Lawsuit

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A putative class action complaint alleging that a product labeled “Premium Baking Chips Classic White Chips” deceptively implied the product contained white chocolate has been dismissed after a federal court held that no reasonable consumer would be deceived because the product nowhere stated “chocolate” or “cocoa,” and the ingredient list plainly disclosed the product did not contain those ingredients. The decision reflects a growing trend of district courts limiting the Ninth Circuit’s Williams v. Gerber rule that a reasonable consumer need not examine the ingredient list.

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