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Consumer Law
Unfair Competition
Breach of Express Warranty

Amanda Smith, Cheryl Fernandez, Joseph Colella, Joseph Timmerman, Kelly Styles Longo, Sandra Styles-Horvath, Johana Garcia, and Sharon Marie Betsell, individually and on behalf of all others similarly situated v. Atkins Nutritionals Inc.

Published: May 8, 2020 | Result Date: Dec. 19, 2019 |

Case number: 2:18-cv-04004-MDH Settlement –  $6,800,000

Court

USDC Missouri


Attorneys

Plaintiff

Matthew L. Dameron
(Williams, Dirks & Dameron LLC)


Defendant

Michael J. Duvall
(Dentons US LLP)


Facts

Atkins Nutritionals, Inc. (Atkins) used a formula that subtracted all grams of sugar alcohol from carbohydrates to label its products as having low "Net Carbs." Consumers filed a class action lawsuit against Atkins for various business code violations, breach of express warranty and breach of warranty of merchantability based on their formula and resultant low "Net Carb" designation.

Contentions

PLAINTIFFS' CONTENTIONS: Plaintiffs contended that Defendant failed to disclose the material fact that sugar alcohols impact blood sugar. Plaintiffs further contended that Defendant made false, misleading statements to deceive consumers into purchasing its products by stating that sugar alcohols have a "minimal" impact on blood sugar. Plaintiffs also contended that Defendant ignored a certain carboydrate entirely while creating in its formula.

DEFENDANT'S CONTENTIONS: Defendant denied the contentions.

Result

The parties entered a $6.8 million settlement.

Other Information

JUDGE: Hon. Douglas Harpool.


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