PepsiCo, Inc. (PEP) Sued for Misleading Marketing for Naked Juice Drinks

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PepsiCo, Inc. (NYSE:PEP) is being sued for allegedly misleading customers with marketing for its Naked Juice drinks.

Naked Juice, PepsiCo, PEPAccording to the Center for Science in the Public Interest (CSPI), the nonprofit organization that filed the lawsuit, PepsiCo’s marketing for Naked Juice drinks claims they are mostly made of “acai berry, blueberries, kale, and mango.” However, it claims that the main ingredient in the drinks is a low-quality apple juice.

CSPI also claims that PepsiCo advertises “No Sugar Added” on its Naked Juice drinks to trick customers into thinking they are low in sugar. It argues that the drinks are actually high in sugar. The organization also noted that the drinks aren’t listed as not being a low-calorie food, which is required by the U.S. Food and Drug Administration.

Kale Blazer, a Naked Juice drink, is specifically pointed out as being misleading in the lawsuit against PepsiCo. CSPI claims that advertisements for the drink prominently push its kale contents. However, orange juice is the main ingredient and apple juice is the third. Despite this, the product doesn’t contain images of oranges or apples on its packaging.

“Consumers are paying higher prices for the healthful and expensive ingredients advertised on Naked labels, such as berries, cherries, kale and other greens, and mango,” Maia Kats, CSPI’s litigation director, said in a statement. “But consumers are predominantly getting apple juice, or in the case of Kale Blazer, orange and apple juice. They’re not getting what they paid for.”

The lawsuit was filed in the United States District Court for the Eastern District of New York. It represents customers in New York and California. You can find the full lawsuit at this link.

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Article printed from InvestorPlace Media, https://investorplace.com/2016/10/naked-juice-pepsico-pep/.

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