Week Adjourned: 2.26.16 – Walmart, Mercedes, J&J Talc Powder

Walmart Parmesan CheeseTop Class Action Lawsuits

Pulp Reality at Walmart? If this is true, it has to be some kind of new low—even for Walmart. The discount retail behemoth got hit with a proposed consumer fraud class action this week, over claims its in-house brand of allegedly pure grated parmesan cheese contains a significant amount of fillers such as wood pulp. OMG.

So, in the spirit of, well, less is more—let’s cut through the filler and get to the allegations. Filed by Marc Moschetta of Dutchess County, New York, the Walmart parmesan cheese complaint states that the labels on Walmart’s Great Value brand grated parmesan cheese contains 100 percent parmesan cheese, and is false. The cheese is sold at Walmart stores across the US.

Are you sitting down? According to the suit, independent lab testing on the cheese product has shown it contains “significant quantities of adulterants and fillers” and between 7 percent to 10 percent of the cheese is made of cellulose, a filler and anti-clumping agent derived from wood pulp.

“Defendant makes only one marketing representation on the label: the product is ‘100%’ grated parmesan cheese [and] consumers, including plaintiff, reasonably rely on the label and believe defendant’s statement that the product consists of ‘100%’ parmesan cheese,” court documents state. “Because the product does in fact contain fillers and substitutes, the ‘100%’ parmesan claim is literally false and is also misleading to consumers.”

Moschetta stated that Walmart’s sale of the grated cheese was executed through deceptive marketing, labeling and advertising and the retailer has violated New York business laws, various consumer protection laws in a majority of the contiguous US, breached an implied warranty and benefited from unjust enrichment.

The complaint is seeking certification of both a nationwide class and a New York subclass of consumers and that Walmart be ordered to pay unspecified treble damages and punitive damages.

The case is Moschetta v. Wal-Mart Stores, Inc., number 7:16-cv-01377, in the U.S. District Court for the Southern District of New York. 

O Lord, won’t you Give me a Clean Diesel Car? Mercedes, seemingly the only automotive maker not be sued for defective airbags, ignition switches and/or uncontrolled acceleration—to name but a few issues among the litany of defective automotive class actions currently winding their way through the courts, found itself on the end of a consumer fraud class action lawsuit this week.

What for, you ask? Allegations the company knowingly programs its Clean Diesel vehicles to emit illegally high levels of nitrogen oxide. Specifically, the Mercedes emissions lawsuit claims that like Volkswagen defeat devices certain Mercedes models contain a device that causes the vehicles to violate US emissions standards when run at cooler temperatures, making them less environmentally friendly than advertised.

The lawsuit was filed by a Mercedes owner in Illinois, who claims the automaker uses the device in its BlueTec cars to turn off a system meant to reduce nitrogen oxide in its exhaust. The law firm representing the plaintiff said in a statement that on-road testing had shown Mercedes’s Clean Diesel cars produced average on-road NOx emissions that were 19 times above the U.S. standard, with some instantaneous readings as high as 65 times more than the US limit.

According to the complaint, the device in Mercedes’s diesel models turns off pollution controls at temperatures below 50 degrees Fahrenheit (10 Celsius), allowing the autos to violate emissions standards.

Further, according to a study done by independent testing agency TNO for the Dutch Ministry of Infrastructure and the Environment, in real-world testing, the Mercedes C-Class 220 emits more nitrogen oxide than measured in laboratory results.

“Mercedes never disclosed to consumers that Mercedes diesels with BlueTEC engines may be ‘clean’ diesels when it is warm, but are ‘dirty’ diesels when it is not,” according to the complaint. “Mercedes never disclosed that, when the temperature drops below 50 degrees, it prioritizes engine power and profits over people.”

The lawsuit also contends that even if Mercedes is able to make the cars compliant with emissions standards, those who drive them will suffer harm because the vehicles won’t perform as promised or advertised.

The plaintiff is seeking to represent a nationwide class of includes all US-based residents and entities that bought or leased an affected vehicle as of this month, and a court order compelling Mercedes to recall the affected models or replace them for free, in addition to unspecified damages.

Among the enumerated models are Mercedes’s ML320 and 350 sport utility vehicles, its E- and S-Class cars, and GLE crossovers.

The lawsuit is Lynevych v. Mercedes-Benz USA, U.S. District Court, District of New Jersey. 

Top Settlements

Pyrrhic Victory for Talc Powder Ovarian Cancer Victim. Here’s a stunner—in more ways than one—and it’s just the beginning for J&J. This week saw $75 million in damages awarded against the company in a lawsuit suit alleging the talcum powder Jacqueline Fox used caused her to develop ovarian cancer.

Fox claimed that for over 35 years she had used baby powder made by J&J and another talc product for feminine hygiene until she was diagnosed with ovarian cancer. She passed away at the age of 62, on October 6, 2015.

Her case was heard by a jury in St. Louis, Missouri, and is just one of more than 60 cases consolidated into a single suit alleging cancer caused by talcum powder.

During the trial, Fox’s attorney presented a document which revealed J&J knew their talcum powder was causing cancer. The letter, dated from 1997, was by a former J&J consultant and it warned the responses by the company to findings from no less than nine scientific studies could result in the talc industry being compared to the cigarette industry.

While the jury found 10-2 against J&J on claims of failure to warn, negligence and conspiracy, it did not find talc manufacturer Imerys Talc America Inc, another defendant, liable.

Another woman is scheduled to go to trial on April 11, 2016. Attorneys for Fox said that J&J is currently facing hundreds of lawsuits over talcum powder use.

Lawsuits have been filed against some talc companies alleging talc powder contains asbestos and consumers were not adequately warned about the risk of asbestos in talc powder. Although home talcum products are supposed to be asbestos-free, there are concerns some talcum products still contain asbestos. Furthermore, it can take decades for exposure to asbestos products to result in mesothelioma and other illnesses, meaning people who were exposed in the 1970s may still be diagnosed with asbestos-related illnesses. 

Ok…So, that’s a wrap folks… Cocktails are in order—see you at the Bar!

 

 

Week Adjourned: 9.23.11

Weekly roundup of latest class action lawsuits and settlements, September 23, 2011

Top Class Actions

Engine Trouble for Mercedes-Benz? Well, last week we reported on a proposed settlement between Mercedes Benz and some unhappy customers who allege consumer fraud over Mercedes Benz USA failing to inform buyers of its luxury vehicles with analog Tele Aid communication systems that the company planned to phase out the analogue emergency communications systems altogether on its models from 2003-2006.

This week, Mercedes Benz is back on the books with a defective product class action. The allegations? Premature wear taking place with its M156 engines, specifically the cam shafts. The suit alleges that the premature wear in the M156 V8 (63 AMG) engine leads to engine problems and in some instances engine failure.

The lawsuit states that the camshafts used are made of cast nodular iron but the valve lifters used are made of 9310 grade steel, and that the combination of these metals as designed is contributing to premature wear of the M156 motors. The suit alleges that Mercedes and AMG (Aufrecht Melcher Grossaspach), a division of Mercedes that sells the high-end M156 have known about this issue since 2007. According to the lawsuit, the luxury vehicles sell for between $60K and $200K. OK, for that kind of money I would not be expecting engine problems – ever.

Top Settlements

Libby Montana Asbestos Settlement. This is a biggy and a long time in coming…long-suffering, potentially terminally ill residents of Libby, Montana, suffering from asbestos-related illnesses including asbestosis and mesothelioma have been awarded a $43 million settlement by a judge in that state. The people were made ill as a result of their exposure to asbestos from the infamous W.R. Grace asbestos mine in Libby, Montana. Reports indicate that a large part of the settlement will be paid by Warren Buffett’s Berkshire Hathaway.

The settlement resolves a lawsuit filed against the state and the mine by former miners and their families who accused the state of failing to properly oversee the mine or warn workers of dangers there. Miners had originally sued W.R. Grace but after the company filed for Chapter 11 bankruptcy in 2001, they sued the state for failing to adequately protect them, court documents state.

Some 1,400 people are expected to receive payouts from the settlement, which was approved September 8, by Montana District Court Judge Jeffrey M. Sherlock, ending ten years of legal wrangling. However, while the settlement ends numerous cases and claims against Montana it “expressly reserves their claims against all other responsible parties,” according to the agreement.

Many of the people who suffered asbestos exposure from the Libby mine are now over the age of 65, and others have since died of asbestos-related diseases such as asbestosis and cancers such as mesothelioma, records show. It may be a good ending but it’s certainly not a good story.

Snap, Crackle…Pop! Goes the Immunity Claim… Ok—hands up—how many of you actually believe a breakfast cereal could boost your immune system? Really.

But no matter, as long as the claim is made…

Kellogg, finding itself in a position of having to defend such a claim, to a potential class of consumers who filed a consumer fraud lawsuit, has proposed a settlement… cheaper than going to court after all.

In a nutshell, the lawsuit claims the Kellogg Company falsely advertised that Rice Krispies cereal and Cocoa Krispies cereal supported a person’s immunity system despite not having competent clinical evidence to support the claim. Now there’s a surprise.

So—if you purchased Kellogg’s Rice Krispies Cereal or Cocoa Krispies Cereal between June 1, 2009 and March 1, 2010, you may be entitled to a cash refund from a class action settlement.

The only way to get a cash refund: Claim Forms must either be submitted online or postmarked by November 16, 2011. If you wish, you can get out of the lawsuits and the settlement. Get no cash refund. If you wanted to exclude yourself, you must have sent an request postmarked no later than July 30, 2011. The deadline to file an objection to the settlement was July 25, 2011. If you do nothing, you will get no cash refund. However, any leftover money will be donated to one or more charities.

OK. That’s it for this week. See you at the Bar. (I’ve been told a Bloody Mary is also good for the immune system…)

Week Adjourned: 9.16.11

Weekly wrap up for September 16, 2011 of the latest class action lawsuits and settlements

Top Class Actions

Destination Maternity could find itself rerouted—make that destination courthouse as they got hit with an employment  class action lawsuit this week. Why, you ask? Sadly, nothing very original. The lawsuit claims that the international retail clothing store violated both federal labor laws and New York labor laws by routinely requiring its sales associates to undergo off-the-clock bag checks and security screenings for which they were not compensated.

The lawsuit also claims that Destination Maternity, A Pea in the Pod, Motherhood Maternity (what other kind is there?), and Edamame stores all require their sales associates to have their bags checked before they leave the stores to have lunch and before they go home for the evening. These checks occur off-the-clock, adding as much as 30 minutes to sales associates’ workdays for which they receive neither overtime nor straight time pay. Of course the point of the lawsuit is to recover the wages and overtime pay each sales associate is due under the law.

So, if you work or have worked as a sales associate at either a Destination Maternity, A Pea in the Pod, Motherhood Maternity, or Edamame store, you may request to be included in the proposed class. Check it out.

Top Settlements

The Best or Nothing? Guess it’s nothing… Mercedes Benz will be shelling over some cash shortly, following federal approval of a $15 million settlement of a recent consumer fraud class action lawsuit. It seems that Mercedes Benz USA failed to inform buyers of its luxury vehicles with analog Tele Aid communication systems that they planned to phase out the analogue emergency communications systems altogether on its models from 2003-2006. Yes—that could influence your decision to buy, no doubt.

Back to the good news. Well, sort of. Under the terms of the Mercedes-Benz settlement purchasers of 2003 to 2006 Mercedes-Benz models with the analog Tele Aid systems installed in their vehicles could receive either a certificate for up to $1,300 off a new vehicle or $650 in cash. Ummm.

You’re Forgiven! I love this one! Thousands of people have been forgiven their debts in a historical unfair business class action settlement reached last Friday in Maryland. The class action lawsuit was brought by Jason Hauk and Freddy Velazquez who led the class action lawsuit, against LVNV Funding LLC, a Greenville, SC-based company that buys consumer debt.

According to the terms of the settlement some 3,500 people in the class will receive about $2000 each, for a total of $7 million. The total settlement forgives about $10 million in debt, according to filings in U.S. District Court in Baltimore.

Further, LVNV will not pursue the 3,500 debtors in order to collect the debt, nor will they be able to sell those debts to other third party collection agencies. And LVNV have to remove information it gave to the major credit bureaus for each of those debtors, a step taken to improve their credit ratings. The settlement is being hailed as historic, and a major win for the class. You gotta love the system when it works!

OK. That’s it for this week. See you at the Bar—and safe travels getting home.

 

 

 

Week Adjourned 5.1.09

It’s been a busy week…

Top Class-Actions: Chinese Drywall, Park West Gallery, Mercedes-Benz

Oh, if these walls could talk. Some good news for homeowners who have found themselves victims of Chinese drywall. The Chinese drywall fiasco is generating a lot of activity, including a class action lawsuit filed on April 24th, by a couple in Florida against Georgia-Pacific Gypsum, and 84 Lumber. The suit alleges the companies sold sulphur-contaminated drywall and timber. Ironically, the products were touted as being ‘green’. Continue reading “Week Adjourned 5.1.09”