Tag: caffeine
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Insurers Must Defend Four Loko Maker in One of Five Lawsuits
A federal court in Illinois has determined that insurers providing coverage to Phusion Projects, Inc., which makes Four Loko, an alcoholic beverage with large amounts of caffeine and other stimulants, do not have a duty to defend the company in lawsuits alleging injury from intoxication. Netherlands Ins. Co. v. Phusion Projects, Inc., No. 11-1253 (N.D. Ill.,…
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Court Dismisses Insurer’s Suit Against Four Loko® Company
A federal court in Illinois has granted the motion to dismiss filed by Phusion Projects, Inc., which sells Four Loko®, a caffeinated alcoholic beverage, in a case brought by one of the company’s insurers seeking a declaration that it owed no duty to defend or indemnify the beverage maker in third-party lawsuits claiming injury, death…
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State AGs Provide Comments on FTC/Phusion Projects Settlement
The attorneys general of a number of states have submitted a comment to the Federal Trade Commission (FTC) taking issue with several aspects of a proposed settlement agreement with the company that makes the caffeinated alcoholic beverage Four Loko®. Additional information about the proposed settlement appears in Issue 412 of this Update. Attached to the…
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Health Canada Outlines New Energy Drink Rules
Health Canada recently announced new measures that would reclassify energy drinks as food instead of a natural health product (NHP), thus requiring each can to bear a nutritional facts table. According to an October 6, 2011, press release, the new rules would also direct energy drink manufacturers to (i) limit caffeine content to 180 milligrams…
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FTC and Phusion Projects Reach Agreement over Four Loko® Disclosures, Packaging
The Federal Trade Commission (FTC) has entered a 20-year consent order with Phusion Projects, LLC, the maker of Four Loko®, an alcoholic beverage that has generated significant controversy for its “super-size” container and previous inclusion of caffeine, which some allege has led to binge-drinking and adverse health effects. In re: Phusion Projects, LLC, No. 112-3084…
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California Governor Signs Caffeinated Beer Beverage Ban
California Governor Jerry Brown (D) has signed a bill (S.B. 39) prohibiting the importation, production and sale of caffeinated beer beverages in retail establishments throughout the state. Effective January 1, 2012, the legislation provides, in part, “Beer to which caffeine has been directly added as a separate ingredient shall not be imported into this state,…
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Texan Alleges Four Loko® Caused His Stroke
A 33-year-old man has filed a personal injury lawsuit in a Texas federal court against companies that made and sold the Four Loko® that allegedly caused the stroke he had in October 2010 immediately after consuming two cans of the caffeinated alcohol beverage. Villa v. Phusion Projects, LLC, No. __ (S.D. Texas, filed mid-July 2010).…
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Insurers Claim No Duty to Defend Four Loko Lawsuits
Insurance companies with policies covering Phusion Projects, Inc., which makes the caffeinated alcohol beverage Four Loko®, have filed a summary judgment motion in their declaratory judgment action against the company, claiming that a policy exclusion unambiguously frees them from defending or indemnifying the beverage maker. The Netherlands Ins. Co. v. Phusion Projects, Inc., No. 11-1253 (N.D.…