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ARTICLE · 07 OCTOBER 2016

Guidance On Deceptive Advertising Claims From 9th Circuit

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The U.S. Court of Appeals for the 9th Circuit found that Dole's "All Natural" food labels on products containing synthetic ingredients could be misleading to a reasonable consumer.

United StatesLitigation, Mediation & Arbitration
Neal Marder
Neal Marder
Ali Rabbani
Ali Rabbani
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Key Points

  • The U.S. Court of Appeals for the 9th Circuit found that Dole's "All Natural" food labels on products containing synthetic ingredients could be misleading to a reasonable consumer.
  • The 9th Circuit confirmed that the proper measure of damages for the plaintiff's claims is the "price premium" attributable to Dole's "All Natural" food labels—i.e., the difference between amount paid and the value of the product purchased—since the plaintiff failed to prove that Dole's products were worthless.
  • The 9th Circuit also affirmed the district court's order decertifying the Rule 23(b)(3) damages class because the plaintiff had not shown that damages could be calculated with common proof, making the price premium measure of damages unsuitable for class treatment.

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