Davis v. Ricola USA, Inc.

CourtDistrict Court, C.D. Illinois
DecidedSeptember 12, 2022
Docket3:22-cv-03071
StatusUnknown

This text of Davis v. Ricola USA, Inc. (Davis v. Ricola USA, Inc.) is published on Counsel Stack Legal Research, covering District Court, C.D. Illinois primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Davis v. Ricola USA, Inc., (C.D. Ill. 2022).

Opinion

IN THE UNITED STATES DISTRICT COURT CENTRAL DISTRICT OF ILLINOIS SPRINGFIELD DIVISION

LACIE DAVIS, individually and ) on behalf of all other similarly ) situated, ) ) Plaintiff, ) ) v. ) No. 22-cv-3071 ) RICOLA USA, INC., ) ) Defendant. )

OPINION SUE E. MYERSCOUGH, U.S. District Judge. Plaintiff Lacie Davis brings this putative class action against Defendant Ricola USA, Inc., alleging that Ricola fraudulently labels and markets its throat lozenges as herbal remedies. Ms. Davis asserts the following claims: (1) violation of the Illinois Consumer Fraud and Deceptive Business Practices Act (ICFA), 815 ILCS 505/1, et seq.; (2) breach of express warranty; (3) breach of implied warranty of merchantability; (4) violation of the Magnuson-Moss Warranty Act (MMWA), 15 U.S.C. § 2301, et seq.; (5) negligent misrepresentation; (6) common-law fraud; and (7) unjust enrichment. Ms. Davis seeks certification of a multistate consumer class, injunctive relief, and damages.

This matter comes before the Court on Defendant’s Motion to Dismiss. See Mot. to Dismiss, d/e 5 (citing Fed. R. Civ. P. 12(b)(6)). The motion is GRANTED IN PART and DENIED IN PART.

I. BACKGROUND The Court construes the complaint in the light most favorable to Ms. Davis, accepting all well-pleaded allegations as true and

taking all reasonable inferences in her favor. W. Bend Mut. Ins. Co. v. Schumacher, 844 F.3d 670, 675 (7th Cir. 2016). Ricola is a corporation based in and incorporated under the

laws of New Jersey. Among other things, Ricola manufactures, labels, markets, and sells cough-suppressant throat lozenges. Ricola is of Swiss origin, and it markets its “Original Herb Cough

Drops” as having been “made with Swiss Alpine Herbs,” including peppermint, wild thyme, hyssop, horehound, and mallow. See Compl., d/e 1, at 1 (photograph of label). Ricola also represents that its “cough suppressant” and “oral anesthetic” lozenges are

“great tasting” and provide “effective relief.” Id. Exhibit A: Product’s Front Label!

fel Tel Van to1= □ fele)Sici. Be) □ □□□ 3 =

| great tasting effective relief

Ms. Davis is a consumer and a resident of Illinois. She purchased Ricola lozenges on at least one occasion in 2022. Ms. Davis would not have done so, however, had Ricola not marketed its lozenges as deriving their therapeutic benefits from their herbal ingredients. See id. 7 50 (“Plaintiff believed and expected the Product functioned as a cough suppressant and oral anesthetic

1 Compl., d/e 1, at 1. Page 3 of 24

due to the presence of herbal ingredients because that is what the representations and omissions said and implied, on the front label

and the absence of any reference or statement elsewhere on the Product.”); see also id. ¶ 54 (“Plaintiff would not have purchased the Product if she knew the representations and omissions were

false and misleading or would have paid less for it.”). Ms. Davis’ allegations center on the lozenges’ front label. Ms. Davis alleges that, based on the label’s claims and images, she and

other consumers reasonably would “expect its cough suppressant and oral anesthetic functionality will be provided by its herbal ingredients.” Id. ¶ 22. Ms. Davis alleges that consumers

intentionally seek out, and pay a premium for, therapeutic products containing herbal ingredients. See id. ¶¶ 11–16. Yet despite the “front label representations including ‘Cough

Suppressant,’ ‘Oral Anesthetic,’ ‘Effective Relief,’ ‘Made with Swiss Alpine Herbs,’ and pictures of ten herbs, the Product’s therapeutic effect is not provided by any of the herbs pictured on the front label.’” Id. ¶ 17. Rather, the herbs “promoted on the front label” of

Ricola’s lozenges “are exclusively ‘Inactive Ingredients.’” Id. ¶ 20. Exhibit B: Product’s Ingredient List and Drug Facts?”

Drug Facts (in each drop) Active ingredient (in each drop) Purposes .4.8 mg Menthol, 4.8 mg...............Cough suppressant, Oral anesthetic « cough due to a cold or inhaled imtants # occasional minor imiiation and pain due to sore throal or sore mouth Warnings Sore throat warnings: « i sore throal is severe, persists for more than 2 days, is accompanied or followed by fever, headache, rash, swelling, nausea, or vomiting, consult a doctor promptly. These may be serious. # do not use in children under 6 years of age unless directad by a doctor. Ask a doctor before use if you have # persistent of chronic cough such as occurs with smoking, asthma, or emphysema « cough accompanied by excessive phlegm (mucus) Stop use and ask a doctor if * cough persists for more than 1 week, tends to recur, or is accompanied by fever, rash, or persistent headache. These could be signs of a serious condition, « sore mouth does not improve in 7 days © initabon, pain, oF recinass persasts or worsens Keep out of reach of children. - — Inactive Ingredients color irections : ste elder ou. (one at a fime} slowly in the mouth, Do not bite or chew, Repeat every 2 hours as needed or as directed bya doctor children under 6 years ask a doctor Other Information protect from heat and moisture Inactive Ingredients color (caramel), extract of - . - a Ricola takeies (elder, havehaand Herendeen 3 natural flavor 3 Stal ch syrup 3 balm, linden flowers, mallow, peppermint, sage, thyme, . wild thyme), natural flavor, starch syrup, sugar sugal

Ms. Davis compares Ricola’s labeling to that of its generic competitors, which “do not represent to consumers that their herbal ingredients are responsible for [their] therapeutic effects.” Id. § 26. Specifically, Ms. Davis points to “natural herbal cough drops” sold by Meijer, Target, Dollar General, and Walmart. See id. Ms. Davis alleges that these retailers, unlike Ricola, “disclos[e] the

presence of menthol on their front labels.” Id. 2Compl., d/e 1, at 4 (highlighting in original). Page 5 of 24

Exhibit C: Generic Competitors’ Front Labels®

□□□ Be an meijer ae a Saal ah i - Bete slam [ite -——-9 eam

am feeb | i ga sd = i a Cheese eee a ts i □ Pas, — gn □ cerpeenar ua air _ eT hc Sr 7S be] tReet th. : be A Sa ee eet

pe) pater lida = equate hee (‘Compare to] the ectharingrediant 1 Ricoky” ely - se ~=NATURAL Natural Herbal wie ugh Drops ae HERBAL ® ©°OU9" Drops lal ge COUGH DROPS Oral anesehetic Me DP or COUGH surrmssanr cna anesrae os i be — | Naturally Soothes Sore Thrvaa Zz — ae ‘Temypatarily Relieves Cough a ee te a ee ru ec Rr □□□ es oe cane MM =, ; % PA 4 rr. et = all ae FE a ae” a F Th, na Ma Fe “ a fy i = J A . hee ee el i pet nes, ee Ets = ——— =

Ms. Davis maintains that had she known “the truth,” she “would not have bought the Product or would have paid less for it.” Id. | 31. Pursuant to Federal Rule of Civil Procedure 23, Ms. Davis

3 Compl., d/e 1, at 5. Page 6 of 24

seeks to certify two classes of consumers who “purchased the Product during the statutes of limitations for each cause of action

alleged.” Id. ¶ 59 (citing Fed. R. Civ. P. 23). Ricola now moves to dismiss Ms. Davis’ complaint for failure to state a claim. See Mot. to Dismiss, d/e 5 (citing Fed. R. Civ. P.

12(b)(6)). Ricola argues that Ms. Davis’ suit is “yet another in a string of ‘unreasonable and unactionable’ interpretations of product packaging advanced by her attorney throughout the

country.” See Def.’s Mem., d/e 6, at 1 (quoting Lemke v. Kraft Heinz Food Co., 2022 WL 1442922, at *5 (W.D. Wis. May 6, 2022)). II.

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