In This Issue:
- Recent Significant Developments and Rulings
..Court Cites “Catalyst” Theory to Award Attorneys’ Fees for Label Changes
..Class Settlement Preliminarily Approved in Barbara’s Bakery “All Natural” GMO Class Action
..Class Settlement Reached in “Evaporated Cane Juice” Class Action
..Class Settlement Reached in Naked Juice “All Natural” Lawsuit
..Partial Dismissal of Amended Complaint in Kraft Class Action
- New filings
- Excerpt from Court Cites “Catalyst” Theory to Award Attorneys’ Fees for Label Changes:
Henderson v. The J.M. Smucker Co., No. 10cv4529 (C.D. Cal.): Plaintiff sued, claiming that Uncrustables pre-packaged sandwiches and Crisco shortening made false and misleading claims that the products were healthful despite containing partially-hydrogenated vegetable oils and high fructose corn syrup. Shortly thereafter the named plaintiff filed for bankruptcy and the trustee settled the action for $22,500. However, due to the fact that Smucker changed its labels in ways contemplated by the complaint, plaintiff’s attorneys filed a motion seeking more than $3 million in fees and $35,000 in costs, contending that plaintiff was the prevailing party because of the change in labeling. The Court agreed that California law supported plaintiff’s contention that she could recover fees if she was the “catalyst” that caused the defendant to make changes to its advertising. After reviewing the evidence submitted by the parties, the court concluded that the lawsuit was a “substantial causal factor” in changes made by the defendant, and held that California’s consumer protection statutes allowed for a recovery of attorney’s fees. The court explained it could not determine the reasonableness of the fees based on plaintiff’s submission and ordered further briefing on that topic.
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