Naked Juice to Pay $9 Million to Resolve False Ad Suit

Naked Juice Co. has agreed to settle putative class claims that it falsely
advertised some of its juice and smoothie products as “all natural” and not
genetically modified (GMO); while denying the allegations, the company will
establish a $9 million settlement fund. Pappas v. Naked Juice Co. of Glendora,
Inc., No. 11-8276 (C.D. Cal., motion for preliminary approval filed
July 2, 2013). Members of the putative nationwide class will each be eligible
under the proposed agreement to recover a maximum of $45 dollars. The
agreement will also require Naked Juice to establish a product verification
program, hire or assign a quality control manager to oversee the independent
testing process for the company’s product line, establish a database to allow
the electronic tracking and verification of product ingredients, and modify
future labeling, advertising and marketing to cease using “All Natural” and
related statements.