Karina Basso  |  December 2, 2014

Category: Consumer News

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Truvia class action lawsuit settlementCargill Inc. has recently agreed to a $6.1 million class action settlement to resolve consumer claims that the company falsely represented their Truvia sweetener as a natural product when it is allegedly mainly composed of synthetic and chemical ingredients. A Hawaii federal judge gave final approval to the deal last week.

According to the Truvia class action settlement, Cargill will establish a settlement fund to compensate Class Members nationwide who purchased any of Cargill’s Truvia products in the last six years. The company has also agreed to certain label changes on their Truvia products. Out of the total $6.1 million class action settlement, $1.83 million will go to attorneys’ fees and costs, and each plaintiff will receive $2,000 in incentive payments.

In the proposed label changes, Cargill will add clarifying statements in order to clarify certain label and marketing statements such as, “Truvia Natural Sweetener provides the same sweetness as two teaspoons of sugar,” in order to not mislead consumers. Labels will also include phrases to direct customers to a Truvia website featuring frequently asked questions and the Truvia labels will no longer feature the phrase “similar to making tea.” Finally, Cargill’s Truvia website will also do a better job of explaining to consumers how the Truvia sweetener is processed and manufactured.

Class Members of the Truvia sweetener class action settlement include U.S. residents who purchased Truvia products in the United States between July 1, 2008 and July 24, 2014.

Based on the Truvia settlement agreement given final approval by U.S. District Judge Leslie E. Kobayashi last week, qualifying Truvia false ad Class Members will receive up to $45 in cash or vouchers worth up to $90.

The deadline to file a claim for the Truvia class action settlement is Dec. 5, 2014. For more information about how to file a claim for the Truvia sweetener class action settlement, click see our detailed claim filing instructions.

Case Background

The Truvia class action lawsuit was originally brought as four separate class actions in four different states initiated in July and September 2013, including Hawaii, Minnesota, California and Florida.

Plaintiff Denise Howerton was one of the first plaintiffs to file a Truvia false ad class action lawsuit in July 2013 in Hawaii federal court, alleging Cargill intended to prey upon consumers’ desire for a healthy, non-caloric sweetener. According to the false ad class action lawsuit, the plaintiffs claim Cargill developed a false advertising campaign that employed deceptive marketing and labeling with the goal of convincing consumers that the Truvia product is a natural sweetener derived from the stevia plant.

Based on the plaintiffs’ allegations, Cargill was allegedly able to charge about 300 percent more per packet of Truvia than a packet of the traditional sweetener Sweet ‘N Low because of their false advertising scheme.

In September 2013, Cargill agreed to a proposed $5 million class action settlement, which would have resolved the Minnesota Truvia lawsuit. However, the proposed Truvia settlement was rejected after a Minnesota federal judge found there was no indication in the record that the Hawaii plaintiffs had been advised that a settlement had been reached. The judge also expressed concern that the settlement was reached too quickly to allow plaintiffs in the other pending class action lawsuits time to object.

In February 2014, the U.S. Judicial Panel on Multidistrict Litigation (JPML) refused to consolidate the Truvia class action lawsuits into one multidistrict litigation, reasoning that all the cases would be transferred to one location later on in the year. The cases were in fact transferred to Hawaii three months later on May 2.

The plaintiffs are represented by Joseph P. Guglielmo and Erin Green Comite of Scott and Scott LLP; Clayton D. Halunen and Melissa Wolchansky of Halunen & Associates; and Michael R. Reese and Kim E. Richman of Reese Richman LLP.

The Truvia False Advertising Class Action Lawsuits are Denise Howerton, et al. v. Cargill Inc., Case No. 1:13-cv-00336, and Martin, et al. v Cargill Inc., CAse No. 1:24-cv-00218, both in the U.S. District Court for the District of Hawaii.

 

CORRECTION 12/4/14: The original article incorrectly stated that the total class action settlement amount was $7.9 million and that Cargill had paid previously paid a $5 million class action settlement. The total settlement amount is $6.1 million, inclusive of attorneys’ fees, and the original $5 million settlement was rejected by a federal judge. The article has been updated accordingly.

UPDATE: Payments from the Truvia class action settlement were mailed to eligible claimants the first week of May.

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4 thoughts onTruvia Class Action Settlement Gets Final Approval

  1. Top Class Actions says:

    UPDATE 1: Payments from the Truvia class action settlement were mailed to eligible claimants the first week of May.

  2. Top Class Actions says:

    UPDATE: Payments from the Truvia class action settlement were mailed to eligible claimants the first week of May.

  3. janice says:

    Check came today 47.57

  4. Felecia says:

    Check came today….@31.16 Memphis, TN

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