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Evian maker Danone defeats lawsuit over 'carbon neutral' claim

investing.com 18/11/2024 - 15:32 PM

Danone Wins Dismissal of Lawsuit on "Carbon Neutral" Claim

By Jonathan Stempel

NEW YORK (Reuters) – Danone, the maker of Evian spring water, has successfully dismissed a lawsuit challenging its "carbon neutral" claim on bottles. A U.S. judge reversed his earlier ruling that permitted the class action lawsuit to proceed.

Consumers accused Danone of misleading them into purchasing Evian, unaware that its manufacturing process emitted carbon dioxide into the atmosphere.

U.S. District Judge Nelson Roman in White Plains, New York, had initially ruled on January 10 that the term "carbon neutral" was ambiguous. He noted that Danone expected "too much" from consumers in understanding the meaning of Evian's labels.

After reconsideration, Roman concluded that reasonable consumers would likely "look beyond the front label," which features mountains and claims Evian's source is the French Alps, and instead check the back label. This label provided a link to Evian's website, giving a more detailed explanation of the carbon neutral claim.

In his decision, Roman stated that Danone's claims "are technically true and relevant disclosures are made available to consumers."

The plaintiffs, Stephanie Dorris from California and John Axiotakis from Massachusetts, alleged they paid premium prices for Evian, equating "carbon neutral" with environmental friendliness.

Lawyers for the plaintiffs did not respond immediately to requests for comment. The judge granted permission for a second amended complaint.

This ruling came nine days after another federal judge in Chicago dismissed a separate lawsuit against Danone that claimed the labeling of Evian as "natural" was misleading due to the presence of microplastics in the bottles.

Danone also produces Dannon, Oikos, and Activia yogurt. Headquartered in Paris, it maintains its North American headquarters in White Plains.

The case is Dorris et al v Danone Waters of America, U.S. District Court, Southern District of New York, No. 22-08717.




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