Olly seeks to trim injury claim from melatonin class action

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Update:

• Olly Public Benefit Corp. asked a California federal court to drop two plaintiffs suing the company for understating the amount of melatonin in its sleep supplements.
• On March 17, Olly argued two plaintiffs, Michele Bacus and Damany Browne, cannot be attached to the lawsuit because they did not test the products for “unreasonable” overages, according to court documents.
• Olly stated that Bacus, in particular, claimed deception under the Illinois Consumer Fraud and Deceptive Business Practice Act but bought products that contained numerous disclosures to “negate” the likelihood of deception.
• Additionally, Olly claims Browne cannot prove where and when he bought the products.
• Olly also argued that each claim for monetary relief is barred because of a decision in a Ninth Circuit case that “traditional equitable principles” require the party seeking equitable relief to establish an adequate legal remedy.

Olly melatonin class action overview: 

• Who: Melatonin consumers are suing Olly. 
• Why: The plaintiffs allege the company understated the levels of melatonin in its sleep aid products.
• Where: The Olly melatonin class action was filed in a California federal court.

(Jan. 23, 2023)

A California federal judge has given the green light to most of the claims in a class action lawsuit alleging Olly’s melatonin supplements include significantly more melatonin than the label asserts, knocking back the company’s motion to dismiss. 

Plaintiff Hope Murphy filed a class action lawsuit against Olly Public Benefit Corp. in June 2022, alleging violations of state and federal consumer laws. 

Olly argued the claims against it should be dismissed, stating the plaintiffs lacked standing, that their claims were preempted and that they were not entitled to monetary relief. 

However, in an order filed Jan. 17 by Judge Charles R. Breyer, the court upheld all but one of the plaintiffs’ claims.

“Because Olly’s arguments largely fail at this stage, the Court grants in part and denies in part the motion,” the order states.

Olly’s melatonin products are stronger than promised, lawsuit alleges

According to the lawsuit, Olly sells melatonin supplements — a sleep aid — nationwide at retailers like Walmart, Whole Foods and Target.

However, the dose of melatonin in the product is significantly higher than what is listed on the label, the lawsuit says. It names three consumers who bought the product, took one dose and then experienced “unwanted daytime grogginess” and “abnormally intense dreaming” associated with higher doses of melatonin.

The lawsuit says plaintiffs did a liquid chromatography-mass spectrometry analysis on some Olly melatonin products.

“The true amount of melatonin in Plaintiffs’ bottles was 165% to 274% of the amount claimed,” the lawsuit alleges.

Judge Breyer ruled all of the plaintiffs’ claims brought under state consumer laws and fraud and breach-of-warranty laws can proceed, and that they are eligible to apply for relief. The judge struck the lawsuit’s attempt to include products the plaintiffs had not purchased, but he allowed them to amend their claim.

Zarbee’s children’s melatonin products are also allegedly inaccurately labeled and may contain significantly more melatonin than indicated on the product label, according to a class action lawsuit filed Oct. 5 in Illinois.

What do you think of the judge’s ruling in this Olly’s case? Let us know in the comments. 

The plaintiffs are represented by Dovel & Luner. 

The Olly’s melatonin class action lawsuit is Hope Murphy, et al. v. Olly Public Benefit Corp., Case No. 3:22-cv-03760-CRB, in the U.S. District Court for the Northern District of California. 

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