throbber
Case 4:20-cv-04425-JSW Document 1 Filed 07/02/20 Page 1 of 26
`
`UNITED STATES DISTRICT COURT
`
`NORTHERN DISTRICT OF CALIFORNIA
`
`Sylvia Koh and David Green, on behalf of
`themselves and all others similarly situated,
`
`20-4425
` Case No. _________________
`
`Plaintiffs,
`
`v.
`
`CLASS ACTION COMPLAINT
`
`DEMAND FOR JURY TRIAL
`
`THE KRAFT HEINZ COMPANY,
`
`Defendant.
`
`Plaintiffs David Green, a resident of Los Angeles County, California, and Sylvia Koh, a
`
`resident of San Mateo County, California (“Plaintiffs”) individually and on behalf of other
`
`similarly situated individuals, by and through their counsel, hereby bring this action against
`
`Defendant The Kraft Heinz Company (“Kraft” or “Defendant”) regarding the deceptive labeling,
`
`marketing, and sale of Defendant’s “Kraft Natural Cheese” products (“the Products”) as “natural”
`
`when they were made from milk produced with artificial growth hormones, and allege the
`
`following based upon information, belief, and the investigation of their counsel:
`
`INTRODUCTION
`
`1.
`
`Due to concerns about health, animal welfare, and sustainability, consumers are
`
`increasingly concerned with how their food is produced.
`
`2.
`
`Consumers are concerned that the use of artificial growth hormones in animals
`
`raised for food is inhumane and contributes to health problems both for the animals and for the
`
`humans who consume the food. One such artificial hormone is recombinant bovine somatotropin
`
`1
`
` CLASS ACTION COMPLAINT
`
`1
`
`2
`
`3
`
`4
`
`5
`
`6
`
`7
`
`8
`
`9
`
`10
`
`11
`
`12
`
`13
`
`14
`
`15
`
`16
`
`17
`
`18
`
`19
`
`20
`
`21
`
`22
`
`23
`
`24
`
`25
`
`26
`
`27
`
`28
`
`

`

`Case 4:20-cv-04425-JSW Document 1 Filed 07/02/20 Page 2 of 26
`
`
`
`1
`
`2
`
`3
`
`4
`
`5
`
`6
`
`7
`
`8
`
`9
`
`10
`
`11
`
`12
`
`13
`
`14
`
`15
`
`16
`
`17
`
`18
`
`19
`
`20
`
`21
`
`22
`
`23
`
`24
`
`25
`
`26
`
`27
`
`28
`
`
`
`(rbST), which is also known as recombinant bovine growth hormone (rbGH).
`
`3.
`
`Kraft knows that consumers seek out and wish to buy dairy products made from
`
`cows raised without the use of rbST. Kraft also knows that consumers will pay more for such
`
`products than they will for products made with artificial hormones.
`
`4.
`
`To capture this growing market, Kraft announced on January 9, 2019, that “KRAFT
`
`Natural Cheese is Now Made from Milk without the Artificial Hormone rbST.”1 Prior to that
`
`announcement, Kraft labeled and marketed the Products2 as “natural,” even though they were
`
`
`
`1 Kraft Heinz, KRAFT Natural Cheese is Now Made from Milk without the Artificial Hormone rbST – and is as
`Ever,
`The
`Kraft
`Heinz
`Company
`(Jan.
`9,
`2019,
`10:00
`AM),
`Delicious
`as
`https://web.archive.org/web/20190920054942/https://news.kraftheinzcompany.com/press-release/brand/kraft-
`natural-cheese-now-made-milk-without-artificial-hormone-rbst-%E2%80%93-and-delicio.
`2 2% Milk Cheddar & Monterey Jack Natural Cheese Cubes, 2% Milk Colby Jack Shredded Natural Cheese, 2%
`Milk Mexican Style Four Cheese, 2% Milk Sharp Cheddar Shredded Cheese, Big Slice Aged Swiss Natural Cheese
`Slices, Big Slice American Cheese Slices, Big Slice Chipotle Natural Cheese Slices, Big Slice Colby Jack Natural
`Cheese Slices, Big Slice Hot Habanero Natural Cheese Slices, Big Slice Jalapeno White Cheddar Natural Cheese
`Slices, Big Slice Mild Cheddar Natural Cheese Slices, Big Slice Pepper Jack Natural Cheese Slices, Big Slice Sharp
`Cheddar Natural Cheese Slices, Big Slice Swiss Natural Cheese Slices 10 slices, Cheddar & Monterey Jack Natural
`Cheese Cubes, Chipotle Natural Cheese Block, Colby & Monterey Jack Big Cheese Snack, Colby & Monterey Jack
`Finely Shredded Natural Cheese, Colby & Monterey Jack Natural Cheese Cubes, Colby Jack & Mild Cheddar Natural
`Cheese Slices, Colby Jack Finely Shredded Natural Cheese, Colby Jack Natural Cheese, Colby Natural Cheese, Extra
`Sharp Cheddar Cheese, Extra Sharp Cheddar Natural Cheese, Extra Sharp Natural Cheddar Cheese Block, Extra Sharp
`White Cheddar Natural Cheese Slices, Extra Thin Swiss Natural Cheese Slices, Fat Free Natural Cheddar Cheese, Fat
`Free Shredded Mozzarella Natural Cheese, Fat-Free Cheddar Shredded Natural Cheese, Finely Shredded Triple
`Cheddar Natural Cheese, Havarti Natural Cheese Slices, Hot Habanero Shredded Natural Cheese, Italian Five Cheese
`Shredded Natural Cheese, Jalapeno Cheddar Shredded Natural Cheese, Jalapeno Low-Moisture Part-Skim String
`Cheese, Low-Moisture Part-Skim Mozzarella String Cheese, Medium Cheddar Natural Cheese, Medium Natural
`Cheddar Cheese Block, Mexican Style 2% Milk Shredded Natural Four Cheese, Mexican Style Cheddar Jack Finely
`Shredded Natural Cheese, Mexican Style Four Cheese Shredded Natural Cheese, Mexican Style Four Finely Shredded
`Natural Cheese, Mexican Style Taco Finely Shredded Natural Cheese, Mild Cheddar 2% Milk Finely Shredded
`Natural Cheese, Mild Cheddar Big Cheese Snack, Mild Cheddar Finely Shredded Natural Cheese, Mild Cheddar
`Natural Cheese, Mild Cheddar Natural Cheese Cubes, Mild Cheddar Shredded Natural Cheese, Mild Natural Cheddar
`Cheese Block, Monterey Jack Cheese Cracker Cuts, Monterey Jack Shredded Natural Cheese, Mozzarella & Cheddar
`Twists, Mozzarella 2% Milk Shredded Natural Cheese, Mozzarella Finely Shredded Natural Cheese, Mozzarella Low-
`Moisture Part-Skim Cheese, Mozzarella Shredded Natural Cheese, Mozzarella String Cheese, Muenster Natural
`Cheese Slices, Natural Cheddar & Monterey Jack Marbled Cheese Block, Natural Cheese Snacks Mozzarella Low-
`Moisture Part-Skim String Cheese, Natural Colby Cheese Block, Natural Colby Jack 2% Milk Cheese Block, Natural
`Colby Jack Cheese Block, Natural Hot Habanero Cheese Block, Natural Jalapeno Cheese Block, Natural Monterey
`Jack Cheese Block, Parmesan Finely Shredded Natural Cheese, Pepper Jack & Sharp Cheddar Natural Cheese Slices,
`Pepper Jack Monterey Jack Cheese with Jalapeno Peppers, Pepper Jack Shredded Natural Cheese, Pizza Style
`Mozzarella & Cheddar Shredded Natural Cheese, Provolone Natural Cheese Slices, Reduced Fat 2% Milk Mozzarella
`String Cheese, Reduced Fat Mozzarella String Cheese with 2% Milk, Sharp Cheddar Finely Shredded Cheese, Sharp
`Cheddar Finely Shredded Natural Cheese, Sharp Cheddar Natural Cheese, Sharp Cheddar Natural Cheese Cubes,
`Sharp Natural Cheddar 2% Milk Cheese Block, Sharp Natural Cheddar Cheese Block, Sharp White Cheddar Shredded
` CLASS ACTION COMPLAINT
`2
`
`

`

`Case 4:20-cv-04425-JSW Document 1 Filed 07/02/20 Page 3 of 26
`
`
`
`made with milk from cows administered rbST.
`
`5.
`
`Kraft’s claim that its Products were “natural” was false, deceptive, and misleading
`
`in that they were made with milk from cows who were given rbST, which is an artificial hormone,
`
`and which unnaturally increased the cows’ milk production.
`
`6.
`
`While many of the Products are now made from milk produced without the artificial
`
`hormone rbST (collectively, the “Type A Products”), certain Kraft Natural Cheese products (e.g.,
`
`varieties containing parmesan, asiago, and Romano cheese) continue to be made with milk from
`
`cows who were administered rbST (collectively, the “Type B Products”).
`
`7.
`
`Reasonable consumers, seeing Kraft’s “natural” representations, would expect that
`
`the Products were made without the use of an “artificial hormone” such as rbST.
`
`8.
`
`In sum, for years, Kraft deceived consumers into believing the Type A Products
`
`were made without the use of added synthetic hormones, when in fact, until recently, they were
`
`produced with milk from cows who were given such hormones. Kraft continues to deceive
`
`consumers with regard to the Type B Products, which are currently made with milk from cows
`
`who were administered rbST.
`
`9.
`
`By deceiving consumers about the nature and quality of the Products, Kraft has sold
`
`a greater volume of the Products, charged higher prices for the Products, and taken away market
`
`
`
`Natural Cheese, Shredded Colby & Monterey Jack Natural Cheese Blend, Shredded Mexican Style Four Cheese,
`Shredded Mild Cheddar Natural Cheese, Shredded Mozzarella 2% Milk Natural Cheese, Shredded Mozzarella Natural
`Cheese, Shredded Parmesan Cheese Shaker, Shredded Parmesan, Romano & Asiago Shredded Natural Cheeses,
`Shredded Sharp Cheddar Natural Cheese, Shredded Smoky Bacon Cheddar Cheese, Slim Cut Extra Sharp White
`Cheddar 2% Milk Natural Cheese Slices, Slim Cut Mozzarella Natural Cheese Slices, Slim Cut Sharp Cheddar 2%
`Milk Natural Cheese Slices, Slim Cut Swiss 2% Milk Natural Cheese Slices, Smoky Bacon Cheddar Cheese Big Slices,
`String Jalapeno Low-Moisture Part-Skim Cheese, String Low-Moisture Part-Skim Mozzarella Cheese, Swiss
`Shredded Natural Cheese, Triple Cheddar Finely Shredded Natural Cheese, Twists 2% Mozzarella & Cheddar Natural
`Cheese, and Twists Mozzarella & Cheddar Natural Cheese Snacks.
`Discovery may reveal that additional Kraft Natural Cheese products should be included within the scope of the
`allegations in this Complaint, and Plaintiff reserves the right to add such products.
` CLASS ACTION COMPLAINT
`3
`
`1
`
`2
`
`3
`
`4
`
`5
`
`6
`
`7
`
`8
`
`9
`
`10
`
`11
`
`12
`
`13
`
`14
`
`15
`
`16
`
`17
`
`18
`
`19
`
`20
`
`21
`
`22
`
`23
`
`24
`
`25
`
`26
`
`27
`
`28
`
`
`
`

`

`Case 4:20-cv-04425-JSW Document 1 Filed 07/02/20 Page 4 of 26
`
`
`
`1
`
`2
`
`3
`
`4
`
`5
`
`6
`
`7
`
`8
`
`9
`
`10
`
`11
`
`12
`
`13
`
`14
`
`15
`
`16
`
`17
`
`18
`
`19
`
`20
`
`21
`
`22
`
`23
`
`24
`
`25
`
`26
`
`27
`
`28
`
`
`
`share from competing products, thereby increasing its own sales and profits.
`
`10.
`
`Because Kraft’s labeling and advertising of the Products has been materially
`
`deceptive about the true nature and quality of the Products, Plaintiffs bring this deceptive
`
`advertising case on behalf of a class of consumers who purchased the Products in the United
`
`States while the Products contained rbST, including: (1) a subclass of all persons who purchased
`
`the Type B Products in the United States; (2) a subclass of all persons who purchased the
`
`Products in California; and (3) a subclass of all persons who purchased the Type B Products (as
`
`defined herein) in California. Plaintiffs seek relief including actual damages, interest, costs,
`
`reasonable attorneys’ fees, and an order enjoining Kraft’s unlawful and deceptive acts. Even
`
`today, proposed class members are purchasing the misrepresented Products, and they will
`
`continue to do so in the future unless Kraft’s conduct is stopped.
`
`JURISDICTION AND VENUE
`
`11.
`
`This Court has original subject-matter jurisdiction over this proposed class action
`
`pursuant to 28 U.S.C. § 1332(d), the Class Action Fairness Act (“CAFA”). There are at least 100
`
`members in the proposed classes. Plaintiffs are citizens of California. On information and belief,
`
`Defendant Kraft is a citizen of Delaware, Illinois, and Pennsylvania. The amount in controversy
`
`exceeds the sum of $5,000,000, exclusive of interest and costs.
`
`12.
`
`This Court has personal jurisdiction over the Defendant in that it regularly conducts
`
`and transacts business in California, purposefully avails itself of the laws of California, markets its
`
`Products to consumers in California, and distributes its Products to numerous retailers in
`
`California.
`
`13.
`
`Venue is proper in this District under 28 U.S.C. § 1391(a). Substantial acts in
`
`furtherance of the alleged improper conduct, including the dissemination of false and misleading
`
`4
`
` CLASS ACTION COMPLAINT
`
`

`

`Case 4:20-cv-04425-JSW Document 1 Filed 07/02/20 Page 5 of 26
`
`
`
`labeling and advertising regarding the nature and quality of the Products and sales of the Products
`
`at issue, occurred within this District.
`
`PARTIES
`
`14.
`
`The Kraft Heinz Company is a Delaware business corporation that maintains its
`
`principal places of business in Chicago, Illinois and Pittsburgh, Pennsylvania.
`
`15.
`
`The Kraft Heinz Company was formed in July 2015 as a result of the merger of the
`
`H.J. Heinz Company with Kraft Foods Group, Inc. Defendant is the successor-in-interest to Kraft
`
`Foods Group, Inc.
`
`16.
`
`Kraft manufactures and/or causes the manufacture of the Products. Kraft also
`
`advertises, markets, and distributes the Products in California. Kraft created and/or authorized the
`
`false and deceptive labeling and advertising of the Products.
`
`17.
`
`Plaintiff Green is a citizen of the State of California, and a resident of Los Angeles
`
`County.
`
`18.
`
`Plaintiff Koh is a citizen of the State of California, and a resident of San Mateo
`
`County.
`
`19.
`
`At all times mentioned herein, Plaintiffs were and are individual consumers over
`
`the age of 18.
`
`20.
`
`During the time period in which the following products were made with the
`
`artificial hormone rbST, Plaintiff Green purchased Kraft’s Shredded Sharp Cheddar, Shredded
`
`Mild Cheddar, and Shredded Mexican Style Four Cheese Products labeled “Natural Cheese.” From
`
`2012-2020, Plaintiff Green purchased the above Products at least five times a year at Ralphs and
`
`Gelson’s Market stores in the Los Angeles area.
`
`5
`
` CLASS ACTION COMPLAINT
`
`1
`
`2
`
`3
`
`4
`
`5
`
`6
`
`7
`
`8
`
`9
`
`10
`
`11
`
`12
`
`13
`
`14
`
`15
`
`16
`
`17
`
`18
`
`19
`
`20
`
`21
`
`22
`
`23
`
`24
`
`25
`
`26
`
`27
`
`28
`
`
`
`

`

`Case 4:20-cv-04425-JSW Document 1 Filed 07/02/20 Page 6 of 26
`Case 4:20-cv-04425—JSW Document 1 Filed 07/02/20 Page 6 of 26
`
`
`
`Tear Open
`malicious!
`
`'
`
`" .flififl/
`
`1%an (mm
`
`FOUR CHEESE
`
`1
`
`2
`
`3
`
`4
`
`5
`
`6
`
`7
`
`8
`
`9
`
`10
`
`11
`
`12
`
`13
`
`14
`
`15
`
`16
`
`17
`
`18
`
`19
`
`20
`
`21
`
`22
`
`23
`
`24
`
`25
`
`26
`
`27
`
`28
`
`
`
`
`
`
`
`MEXIIBANIW '
`
`
`
`6
`
` CLASS ACTION COMPLAINT
`
`

`

`Case 4:20-cv-04425-JSW Document 1 Filed 07/02/20 Page 7 of 26
`
`
`
`
`
`21.
`
` During time periods in which the following products were made with the artificial
`
`hormone rbST, Plaintiff Koh purchased Kraft’s Mozzarella Shredded, Mozzarella String Cheese,
`
`Shredded Parmesan Cheese, Parmesan Finely Shredded, and Havarti slice Products labeled
`
`“Natural Cheese.” From 2015-2020, Plaintiff Koh purchased at least one of the above Products on
`
`a monthly basis at a Safeway store in the Daly City area.
`
`
`
`
`
`7
`
` CLASS ACTION COMPLAINT
`
`1
`
`2
`
`3
`
`4
`
`5
`
`6
`
`7
`
`8
`
`9
`
`10
`
`11
`
`12
`
`13
`
`14
`
`15
`
`16
`
`17
`
`18
`
`19
`
`20
`
`21
`
`22
`
`23
`
`24
`
`25
`
`26
`
`27
`
`28
`
`
`
`

`

`Case 4:20-cv-04425-JSW Document 1 Filed 07/02/20 Page 8 of 26
`
`
`
`1
`
`2
`
`3
`
`4
`
`5
`
`6
`
`7
`
`8
`
`9
`
`10
`
`11
`
`12
`
`13
`
`14
`
`15
`
`16
`
`17
`
`18
`
`19
`
`20
`
`21
`
`22
`
`23
`
`24
`
`25
`
`26
`
`27
`
`28
`
`
`
`
`
`
`
`
`
`22.
`
` In deciding to make their purchases, Plaintiffs saw, relied upon, and reasonably
`
`believed Kraft’s “natural” representations.
`
`23.
`
`Plaintiffs were willing to pay more for Kraft’s Products because they expected the
`
`Products to have been made without the use of artificial hormones.
`
`24.
`
` Had Plaintiffs known at the time that Kraft’s Products were made from cows who
`
`were given rbST, they would not have purchased or continued to purchase the Products.
`
`25.
`
`Plaintiff Koh ceased purchasing the Products because Kraft was labeling their
`
`Products as natural when they were not.
`
`26.
`
`Plaintiff Koh continues to purchase cheese products and intends to continue
`
`purchasing cheese products in the future, but she does not currently purchase the Type B Products.
`
`27.
`
`Plaintiff Koh wishes to be able to continue purchasing the Type B Products and,
`
`therefore, wishes to see them truthfully made without antibiotics. Moreover, Plaintiff Koh is aware
`
`that members of her proposed class are currently purchasing, and will continue to purchase, Kraft’s
`
`8
`
` CLASS ACTION COMPLAINT
`
`

`

`Case 4:20-cv-04425-JSW Document 1 Filed 07/02/20 Page 9 of 26
`
`
`
`Type B Products, unaware that the “Natural” representations are not correct, unless Kraft’s conduct
`
`is enjoined.
`
`FACT ALLEGATIONS
`
`A. Kraft Falsely and Deceptively Represented That the Products Were Natural.
`
`28.
`
`During any applicable statute of limitations period, Kraft’s packaging and
`
`advertising for the Products featured the claim “Natural Cheese.”
`
`29.
`
`Reasonable consumers interpret Kraft’s “natural” claim as meaning that its
`
`Products are made with milk produced without the use of artificial hormones.
`
`
`
`9
`
` CLASS ACTION COMPLAINT
`
`1
`
`2
`
`3
`
`4
`
`5
`
`6
`
`7
`
`8
`
`9
`
`10
`
`11
`
`12
`
`13
`
`14
`
`15
`
`16
`
`17
`
`18
`
`19
`
`20
`
`21
`
`22
`
`23
`
`24
`
`25
`
`26
`
`27
`
`28
`
`
`
`

`

`Case 4:20-cv-04425-JSW Document 1 Filed 07/02/20 Page 10 of 26
`
`
`
`1
`
`2
`
`3
`
`4
`
`5
`
`6
`
`7
`
`8
`
`9
`
`10
`
`11
`
`12
`
`13
`
`14
`
`15
`
`16
`
`17
`
`18
`
`19
`
`20
`
`21
`
`22
`
`23
`
`24
`
`25
`
`26
`
`27
`
`28
`
`
`
`30.
`
`A 2015 nationally representative consumer survey conducted by Consumer Reports
`
`Survey Group found that 64% of consumers believe the claim “natural” on food means that no
`
`artificial growth hormones were used.3
`
`31.
`
`A 2019 survey commissioned by the Corn Refiners Association found that more
`
`than half of consumers believe the claim “natural” for food means “no hormones and antibiotics.”4
`
`32.
`
`There is nothing natural about the use of rbST in dairy production. rbST is
`
`synthetically produced using genetic technology. It is injected in dairy cows to artificially increase
`
`milk production and thereby reduce the cost of milk production.
`
`33.
`
`Kraft itself refers to rbST as an “artificial” hormone.5
`
`B. Kraft’s “Natural” Claims Are Material to Reasonable Consumers.
`
`34.
`
`Although rbST is legally allowed for use in dairy cows in the United States, it has
`
`been banned in Canada, the European Union, and other countries.
`
`35.
`
`The use of rbST puts cows at significantly higher risk for serious health problems.
`
`Studies have found that cows treated with rbST suffer a 55% increased risk of lameness, 40%
`
`increased risk of reproductive problems, and 25% increased risk of clinical mastitis.6
`
`36.
`
`The greater incidence of mastitis contributes to increased use of antibiotics in dairy
`
`cows, which in turn contributes to antibiotic resistance. According to the Centers for Disease
`
`
`
`3 Consumer Reports Survey Group, Natural and Antibiotics Label Survey: 2015 Nationally Representative Phone
`Survey, https://foodpolitics.com/wp-content/uploads/Consumer-Reports-Natural-Food-Labels-Survey-Report.pdf.
`4 Jayson Lusk, Consumer Perceptions of Healthy and Natural Food Labels, (Jan, 15, 2019),
`https://static1.squarespace.com/static/502c267524aca01df475f9ec/t/5c4df49440ec9a53af435ab4/1548612761167/re
`port_revised.pdf.
`5 Supra, note 1.
`6 I. R. Dohoo, et al., A meta-analysis review of the effects of recombinant bovine somatotropin: Effects on animal
`culling,
`67 Can.
`J. Vet. Res.
`252
`(Oct.
`2003),
`health,
`reproductive
`performance,
`and
`https://www.ncbi.nlm.nih.gov/pmc/articles/PMC280709/.
`10
`
` CLASS ACTION COMPLAINT
`
`

`

`Case 4:20-cv-04425-JSW Document 1 Filed 07/02/20 Page 11 of 26
`
`
`
`Control, “Antibiotic resistance—the ability of germs to defeat the drugs designed to kill them—is
`
`one of the greatest global public health challenges of our time.”7
`
`37.
`
`Because of their poorer overall welfare, rBST-treated cows are culled at a higher
`
`rate than nontreated cows.8
`
`38.
`
`Furthermore, studies have suggested that rbST use may increase the risk of certain
`
`cancers in humans who consume milk products by elevating levels of insulin-like growth factor 1
`
`(IGF–1).9
`
`39. Milk produced with rbST also can be inferior to milk produced without synthetic
`
`hormones. Compared to milk produced without rbST, milk from cows treated with rbST can have
`
`increased fat content and decreased level of proteins, as well as higher counts of somatic cells (i.e.,
`
`pus), which makes the milk turn sour more quickly.10
`
`40.
`
`Concerned about the risks associated with artificial hormones in dairy production,
`
`consumers want to avoid buying products made with rbST and will pay more for products made
`
`without artificial hormones.
`
`41.
`
`Kraft knows this. Indeed, Kraft cited the fact that “[o]ver half of all consumers try
`
`to avoid added hormones in their food” as a reason why it stopped using milk from cows treated
`
`with rbST in certain of the Products.11
`
`
`
`the United States, 2019,
`for Disease Control, Antibiotic Resistance Threats
` Centers
`in
`7
`https://www.cdc.gov/drugresistance/pdf/threats-report/2019-ar-threats-report-508.pdf, at 3.
`8 The Humane Society of the United States, An HSUS Report: The Welfare of Cows in the Dairy Industry,
`https://www.humanesociety.org/sites/default/files/docs/hsus-report-animal-welfare-cow-dairy-industry.pdf, at 8.
`9 Federal Court Strikes Down Ohio Ban on RBGH-Free Labels on Dairy Products, Center for Food Safety (Sept.
`30, 2010), https://www.centerforfoodsafety.org/press-releases/810/federal-court-strikes-down-ohio-ban-on-rbgh-
`free-labels-on-dairy-products.
`10 Int'l Dairy Foods Ass'n v. Boggs, 622 F.3d 628, 636–37 (6th Cir. 2010).
`11 Supra, note 1.
`
`11
`
` CLASS ACTION COMPLAINT
`
`1
`
`2
`
`3
`
`4
`
`5
`
`6
`
`7
`
`8
`
`9
`
`10
`
`11
`
`12
`
`13
`
`14
`
`15
`
`16
`
`17
`
`18
`
`19
`
`20
`
`21
`
`22
`
`23
`
`24
`
`25
`
`26
`
`27
`
`28
`
`
`
`

`

`Case 4:20-cv-04425-JSW Document 1 Filed 07/02/20 Page 12 of 26
`
`
`
`42.
`
`Kraft has labeled and advertised its Products as “Natural Cheese” to capture
`
`consumers who wish to avoid foods made with artificial hormones.
`
`C. Kraft’s False and Misleading Claims Harm Consumers.
`
`43.
`
`Kraft’s conduct in labeling and advertising the Products as “natural” has deceived
`
`and/or is likely to deceive the public. Consumers have been deceived into believing that the
`
`Products were made with milk from cows who had not been given artificial hormones, when in
`
`fact rbST has been used to produce the milk in the Products.
`
`44.
`
`The labels have never informed consumers when rbST was used to make the milk
`
`in the Products. Furthermore, ordinary consumers do not have sufficient knowledge about the dairy
`
`industry to understand whether rbST was used in the production of the Products.
`
`45.
`
`Consumers lack the information and scientific knowledge necessary to determine
`
`whether the Products are in fact “natural” and to know or to ascertain the true quality of the
`
`Products.
`
`46.
`
`Reasonable consumers must and do rely on Kraft to report honestly whether the
`
`Products are made with the use of artificial hormones.
`
`47.
`
`Kraft has deceptively and misleadingly concealed material facts about the Products
`
`it marketed as “natural,” namely, when the Products have been made with milk produced with
`
`artificial hormones.
`
`48.
`
`Kraft knows that rbST is artificial. Kraft also knows that rbST artificially boosted
`
`production of milk it used to make its Products. Kraft thus knew, or should have known, the facts
`
`demonstrating that the Products were mislabeled and falsely advertised.
`
`49.
`
`Kraft’s use of milk produced with rbST was not disclosed to Plaintiffs or to the
`
`class of consumers they seek to represent.
`
`12
`
` CLASS ACTION COMPLAINT
`
`1
`
`2
`
`3
`
`4
`
`5
`
`6
`
`7
`
`8
`
`9
`
`10
`
`11
`
`12
`
`13
`
`14
`
`15
`
`16
`
`17
`
`18
`
`19
`
`20
`
`21
`
`22
`
`23
`
`24
`
`25
`
`26
`
`27
`
`28
`
`
`
`

`

`Case 4:20-cv-04425-JSW Document 1 Filed 07/02/20 Page 13 of 26
`
`
`
`50.
`
`51.
`
`Kraft’s concealment tolls the applicable statute of limitations.
`
`In making the false, misleading, and deceptive representations at issue, Kraft also
`
`knew and intended that consumers would choose to buy, and would pay more for, products
`
`promoted as “natural,” furthering Kraft’s private interest of increasing sales of its products and
`
`decreasing the sales of its competitors’ products that are truthfully marketed.
`
`52.
`
`Kraft intended for consumers to rely on its representations, and reasonable
`
`consumers did in fact so rely. As a result of its false and misleading labeling and advertising, Kraft
`
`was and is able to sell the Products to consumers in the State of California and to realize sizeable
`
`profits.
`
`53.
`
`During the time periods in which the products were made with the artificial
`
`hormone rbST, Plaintiffs and members of the Classes described below relied on Kraft’s “Natural
`
`Cheese” misrepresentations when purchasing the Products. Plaintiffs and members of the Classes
`
`described below paid a premium for the Products based upon the misrepresentations, and they
`
`purchased Products they otherwise would not have bought had they known the truth about the use
`
`of artificial hormones to produce Kraft’s Products. As a result, Plaintiffs and Class Members
`
`suffered an injury. Contrary to representations on the Products’ labeling and advertising,
`
`consumers received Products that were not natural.
`
`54.
`
`Had Kraft not made the false, misleading, and deceptive representations, Plaintiffs
`
`and the class members would not have been willing to pay the same amount for the Products they
`
`purchased and would not have been willing to purchase the Products.
`
`55.
`
`Upon information and belief, Kraft has profited enormously from its falsely and
`
`deceptively marketed products.
`
`13
`
` CLASS ACTION COMPLAINT
`
`1
`
`2
`
`3
`
`4
`
`5
`
`6
`
`7
`
`8
`
`9
`
`10
`
`11
`
`12
`
`13
`
`14
`
`15
`
`16
`
`17
`
`18
`
`19
`
`20
`
`21
`
`22
`
`23
`
`24
`
`25
`
`26
`
`27
`
`28
`
`
`
`

`

`Case 4:20-cv-04425-JSW Document 1 Filed 07/02/20 Page 14 of 26
`
`
`
`CLASS ALLEGATIONS
`
`56.
`
` Plaintiffs re-allege and incorporate by reference the allegations set forth in each of
`
`the preceding paragraphs of this Complaint.
`
`57.
`
`Plaintiffs bring this action pursuant to Rule 23 of the Federal Rules of Civil
`
`Procedure on behalf of themselves and all other similarly situated individuals within the United
`
`States (the “Class”) defined as follows: All consumers who purchased the Products in the United
`
`States within the applicable statute of limitations, while the Products contained rbST, and until the
`
`date of class certification (the “Class Period").
`
`58.
`
`Excluded from the Class are (1) Defendant, any entity or division in which a
`
`Defendant has a controlling interest, and Defendant’s legal representatives, officers, directors,
`
`assigns, and successors; and (2) the judge to whom this case is assigned and the judge’s staff.
`
`59.
`
`Included in the Class, to the extent necessary, is: (1) a subclass of all persons who
`
`purchased the Type B Products (as defined herein) in the United States during the Class Period
`
`(the “Nationwide Type B Subclass”); (2) a subclass of all persons who purchased the Products in
`
`California during the Class Period (the “California Subclass”); and (3) a subclass of all persons
`
`who purchased the Type B Products (as defined herein) in California during the Class Period (the
`
`“California Type B Subclass”) (the California Subclass and the California Type B Subclass are
`
`collectively referred to herein as the “California Subclasses”).
`
`60.
`
`There are substantial questions of law and fact common to all members of the Class,
`
`which will predominate over any individual issues. These common questions of law and fact
`
`include, without limitation:
`
`(a) whether Defendant is responsible for the labeling and advertising at issue;
`
`(b) whether Defendant’s practices and representations related to the marketing, labeling
`14
` CLASS ACTION COMPLAINT
`
`1
`
`2
`
`3
`
`4
`
`5
`
`6
`
`7
`
`8
`
`9
`
`10
`
`11
`
`12
`
`13
`
`14
`
`15
`
`16
`
`17
`
`18
`
`19
`
`20
`
`21
`
`22
`
`23
`
`24
`
`25
`
`26
`
`27
`
`28
`
`
`
`

`

`Case 4:20-cv-04425-JSW Document 1 Filed 07/02/20 Page 15 of 26
`
`
`
`and sales of its Products were unfair, deceptive, fraudulent, and/or unlawful in any
`
`respect;
`
`(c) whether Defendant breached a warranty created through the labeling and marketing of
`
`its Products; and
`
`(d) whether Defendant’s conduct as set forth above injured, and may continue to injure,
`
`Plaintiffs and Class members.
`
`61.
`
`Plaintiffs’ claims are typical of the claims of the Class. Plaintiffs are members of a
`
`well-defined class of similarly situated persons, and the members of the Class were similarly
`
`affected by Defendant’s conduct and are owed the same relief, as alleged in this Complaint.12
`
`Members of the Class are ascertainable from Plaintiffs’ description of the class, Defendant’s
`
`records, and records of third parties accessible through discovery.
`
`62.
`
`Plaintiffs will fairly and adequately protect the interests of the Classes and have no
`
`interests which are antagonistic to the claims of the Classes. Plaintiffs will vigorously pursue the
`
`claims of the Classes.
`
`63.
`
`Plaintiffs have retained counsel who are competent and experienced in consumer
`
`protection litigation, including class actions relating to false advertising. Plaintiffs’ counsel have
`
`successfully represented plaintiffs in complex class actions and currently represent other plaintiffs
`
`in several similar complex class action lawsuits involving false advertising.
`
`64.
`
`A class action provides a fair and efficient method, if not the only method, for
`
`adjudicating this controversy. The substantive claims of Plaintiffs and the Classes are nearly
`
`
`
`12 Plaintiff Koh, who has purchased the Type B Products, seeks injunctive relief on behalf of the Nationwide Type
`B Subclass and the California Type B Subclass (collectively, the “Type B Subclasses”). Plaintiff Green, who has not
`purchased the Type B Products, does not seek to represent the claims unique to the Type B Subclasses.
` CLASS ACTION COMPLAINT
`15
`
`1
`
`2
`
`3
`
`4
`
`5
`
`6
`
`7
`
`8
`
`9
`
`10
`
`11
`
`12
`
`13
`
`14
`
`15
`
`16
`
`17
`
`18
`
`19
`
`20
`
`21
`
`22
`
`23
`
`24
`
`25
`
`26
`
`27
`
`28
`
`
`
`

`

`Case 4:20-cv-04425-JSW Document 1 Filed 07/02/20 Page 16 of 26
`
`
`
`1
`
`2
`
`3
`
`4
`
`5
`
`6
`
`7
`
`8
`
`9
`
`10
`
`11
`
`12
`
`13
`
`14
`
`15
`
`16
`
`17
`
`18
`
`19
`
`20
`
`21
`
`22
`
`23
`
`24
`
`25
`
`26
`
`27
`
`28
`
`
`
`identical and will require evidentiary proof of the same kind and application of the same laws.
`
`There is no plain, speedy, or adequate remedy other than by maintenance of this class action.
`
`65.
`
`A class action is superior to other available methods for the fair and efficient
`
`adjudication of this controversy because Class members number in the thousands and individual
`
`joinder is impracticable. The expense and burden of individual litigation would make it
`
`impracticable or impossible for proposed Class members to prosecute their claims individually,
`
`and the disposition of this case and as part of a single class action lawsuit will benefit the parties
`
`and greatly reduce the aggregate judicial resources that would be spent if this matter were handled
`
`as hundreds or thousands of separate lawsuits. Trial of Plaintiffs’ and the Class members’ claims
`
`together is manageable.
`
`66.
`
`No member of the Class has a substantial interest in individually controlling the
`
`prosecution of a separate action.
`
`67.
`
`The prerequisites to maintaining a class action for equitable relief are met, as
`
`Defendant, by representing that all of the Products are “natural” despite the fact that they were
`
`made with milk produced with artificial hormones, has acted or refused to act on grounds generally
`
`applicable to the Class, thereby making appropriate final equitable relief with respect to the Class
`
`as a whole.
`
`68.
`
`The prosecution of separate actions by members of the Class would create a risk of
`
`establishing inconsistent rulings and/or incompatible standards of conduct for Defendant.
`
`Additionally, individual actions could be dispositive of the interests of the Classes even where
`
`certain Class members are not parties to such actions.
`
`69.
`
`Defendant’s conduct is generally applicable to the Class as a whole, and Plaintiffs
`
`seek, inter alia, equitable remedies with respect to the Class as a whole. As such, Defendant’s
`
`16
`
` CLASS ACTION COMPLAINT
`
`

`

`Case 4:20-cv-04425-JSW Document 1 Filed 07/02/20 Page 17 of 26
`
`
`
`1
`
`2
`
`3
`
`4
`
`5
`
`6
`
`7
`
`8
`
`9
`
`10
`
`11
`
`12
`
`13
`
`14
`
`15
`
`16
`
`17
`
`18
`
`19
`
`20
`
`21
`
`22
`
`23
`
`24
`
`25
`
`26
`
`27
`
`28
`
`
`
`systematic policies and practices make declaratory relief appropriate with respect to the Class as a
`
`whole. Likewise, Defendant’s continuing systematic policies and practices make injunctive relief
`
`appropriate with respect to the Type B Subclasses in their entirety.
`
`70.
`
`Plaintiffs know of no difficulty that will be encountered in the management of this
`
`litigation, which would preclude its maintenance of a class action.
`
`CAUSES OF ACTION
`
`COUNT I
`Unfair and Deceptive Acts and Practices
`in Violation of the California Consumer Legal Remedies Act
`(on Behalf of the California Subclasses)
`
`Plaintiffs incorporate by reference and reallege herein all paragraphs alleged above.
`
`This cause of action is brought pursuant to California’s Consumers Legal Remedies
`
`71.
`
`72.
`
`Act, Cal. Civ. Code §§ 1750-1785 (the “CLRA”).
`
`73.
`
`Plaintiffs and other members of the California Subclasses are “consumers,” as the
`
`term is defined by California Civil Code § 1761(d), because they bought th

This document is available on Docket Alarm but you must sign up to view it.


Or .

Accessing this document will incur an additional charge of $.

After purchase, you can access this document again without charge.

Accept $ Charge
throbber

Still Working On It

This document is taking longer than usual to download. This can happen if we need to contact the court directly to obtain the document and their servers are running slowly.

Give it another minute or two to complete, and then try the refresh button.

throbber

A few More Minutes ... Still Working

It can take up to 5 minutes for us to download a document if the court servers are running slowly.

Thank you for your continued patience.

This document could not be displayed.

We could not find this document within its docket. Please go back to the docket page and check the link. If that does not work, go back to the docket and refresh it to pull the newest information.

Your account does not support viewing this document.

You need a Paid Account to view this document. Click here to change your account type.

Your account does not support viewing this document.

Set your membership status to view this document.

With a Docket Alarm membership, you'll get a whole lot more, including:

  • Up-to-date information for this case.
  • Email alerts whenever there is an update.
  • Full text search for other cases.
  • Get email alerts whenever a new case matches your search.

Become a Member

One Moment Please

The filing “” is large (MB) and is being downloaded.

Please refresh this page in a few minutes to see if the filing has been downloaded. The filing will also be emailed to you when the download completes.

Your document is on its way!

If you do not receive the document in five minutes, contact support at support@docketalarm.com.

Sealed Document

We are unable to display this document, it may be under a court ordered seal.

If you have proper credentials to access the file, you may proceed directly to the court's system using your government issued username and password.


Access Government Site

We are redirecting you
to a mobile optimized page.





Document Unreadable or Corrupt

Refresh this Document
Go to the Docket

We are unable to display this document.

Refresh this Document
Go to the Docket