$2.5M Seagram’s Ginger Ale Class Action Settlement Gets OK

The Coca-Cola Co. and a group of Seagram’s ginger ale drinkers have received preliminary approval for a settlement that would end claims that the beverage is not made with real ginger as advertised.

The settlement deal allows for a $2.5 million fund that will pay customers 80 cents per product purchased.

Customers can receive up to a maximum of $10 without proof of purchase and $80 with proof of purchase.

Plaintiff Jackie Fitzhenry-Russell will receive $5,000 from the fund for her role as lead plaintiff and $800,000 has been allocated for attorneys’ fees and costs.

Fitzhenry-Russell expressed support for the deal, saying that it provided a good outcome for the Class. She noted that it would possibly be challenging to prove in court that customers depended on the “made with real ginger” claims when making their purchasing decisions, and that it would be difficult to prove that they were willing to pay a premium based on this statement.

According to Fitzhenry-Russell, customers seek out products made with real ginger because they are seen as higher quality than those made with imitation ginger. Additionally, customers allegedly seek out real ginger products because real ginger has health benefits, that imitation ginger does not have.

The Seagram’s false advertising class action lawsuit asserted that Seagram’s ginger ale is made with carbonated water, high fructose corn syrup, citric acid, preservatives, and a chemical flavor compound manufactured to mimic the taste of ginger.

Allegedly, Coca-Cola intentionally misled customers into believing that the Seagram’s ginger ale is made with real ginger in an attempt to boost sales.

Fitzhenry-Russell claimed that the company violated the Consumer Legal Remedies Act and accused the company of false advertising, fraud, deceit, and/or misrepresentation.

“Reasonable consumers relied on Defendants’ representations regarding the nature of the Products. Such reliance by consumers is also eminently reasonable, since food companies are prohibited from making false or misleading statements on their products under federal law,” the plaintiff stated.

The Seagram’s class action lawsuit was removed to federal court, and it survived a dismissal motion in October 2017.

Fitzhenry-Russell also filed a ginger ale class action lawsuit against Keurig Dr. Pepper. She claimed that the company mislabeled its Canada Dry Ginger Ale as containing real ginger. This ginger ale class action lawsuit was settled — customers received partial refunds and lawyers received $2.25 million for legal costs.

Top Class Actions will post updates to this class action settlement as they become available. For the latest updates, keep checking TopClassActions.com or sign up for our free newsletter. You can also receive notifications when this article is updated by using your free Top Class Actions account and clicking the “Follow Article” button at the top of the post.

Fitzhenry-Russell is represented by Adam Gutride, Seth Safier, Marie McCrary, Matthew McCrary, and Kristen Simplicio of Gutride Safier LLP.

The Seagram’s Real Ginger False Advertising Class Action Lawsuit is Jackie Fitzhenry-Russell v. The Coca-Cola Co., Case No. 5:17-cv-00603, in the U.S. District Court for the Northern District of California.

UPDATE: July 2019, the Seagram’s Ginger Ale class action settlement is now open.Click here to file a claim.

UPDATE 2: On Feb. 27, 2020, Top Class Actions viewers started receiving checks from the Seagram’s Ginger Ale class action settlement worth $10.40. Congratulations to everyone who filed a claim and got PAID!

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