Henry v. Nissin Foods (USA) Co., Inc.

CourtDistrict Court, E.D. New York
DecidedMarch 17, 2023
Docket1:22-cv-00363
StatusUnknown

This text of Henry v. Nissin Foods (USA) Co., Inc. (Henry v. Nissin Foods (USA) Co., Inc.) is published on Counsel Stack Legal Research, covering District Court, E.D. New York primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Henry v. Nissin Foods (USA) Co., Inc., (E.D.N.Y. 2023).

Opinion

UNITED STATES DISTRICT COURT EASTERN DISTRICT OF NEW YORK STEPHANIE HENRY, individually and on behalf of all others similarly situated, MEMORANDUM & ORDER Plaintiff(s), 22-CV-363 (NGG) (RER) -against- NISSIN FOODS (U.S.A.) CO. Inc., Defendant(s).

NICHOLAS G. GARAUFIS, United States District Judge. Plaintiff Stephanie Henry brings various claims against De- fendant Nissin Foods (U.S.A.) Co. Inc. (“Nissin Foods”) over its use of the phase “No Added MSG” in relation to certain products that it manufactures and sells. She seeks relief on behalf of her- self and a proposed class of similarly situated purchasers of Defendant's products, asserting claims for (i) violation of various state consumer protection statutes; Gi) deceptive business prac- tices under N.Y. G.B.L. § 349; (iii) deceptive advertising under N.Y. G.B.L. § 350; (iv) breach of express warranty; and (v) breach of the Magnuson-Moss Warranty Act. Defendant has □□ moved to dismiss Plaintiffs Complaint in its entirety for failure to state a claim pursuant to Federal Rule of Civil Procedure (“FRCP”) 12(b)(6). (See Defs. Mot. to Dismiss (“Defs. Mot.”) (Dkt. 28-1).) For the following reasons, the Defendant’s motion is

I. BACKGROUND! Nissin Foods is a California Corporation that manufactures and distributes instant noodle food products, including Cup Noo- dles, Top Ramen, Hot & Spicy, and Chow Mein (the “Products”). (Compl. (Dkt. 1) "4 1, 4, 27.) Nissin is a subsidiary of Nissin Foods Holdings Co., Ltd., a Japanese company. (Id. § 4.) Plaintiff is a citizen of New York, who has purchased Cup Noodles as re- cently as early 2022. Ud. 3, 61.) Glutamic acid and its salts are known as “free glutamates,” Ud. § 8.) They provide an “mami” or savory taste to food. Ud.) Monosodium glutamate, frequently referred to as “MSG,” is a so- dium salt form of glutamate used in prepared foods, (id. 4 12.) The free glutamates in MSG have the same chemical composition as free glutamates in other glutamic acid salts. Ud. { 14.) Manu- facturers of food products frequently add free glutamates or ingredients containing free glutamates to their products to im- prove flavor. (Id. 4 9.) Some researchers, however, believe that free glutamates can lead to adverse health effects, and some con- sumers have also reported sensitivity or allergies to foods containing free glutamates. Ud. {7 9-10.) As a result, some con- sumers avoid foods containing free glutamates. Ud. □ 11.) The Food and Drug Administration (“FDA”) has recognized that consumers frequently use the term “MSG” to refer to free glutamates more broadly. Ud. 4 13.) Though food manufacturers prominently label their products “No MSG” or “No Added MSG,”

1 The following facts are taken from the Complaint and, for the purposes of this motion to dismiss, are assumed to be true. See Ark. Pub. Emps. Ret. Sys. v. Bristol-Myers Squibb Co., 28 F.4th 343, 349 (2d Cir. 2022). The Complaint is also deemed to include documents incorporated in it by ref- erence and that are “integral.” Chambers v. Time Warner, Inc., 282 F.3d 147, 152-53 (2d Cir. 2002). The court considers the exhibits that Defend- ant submitted with its motion—the full packaging of the Products—to be integral to the Complaint.

(id, { 16), the FDA has stated that it considers these labels to be misleading where a product contains ingredients that are sources of free glutamates. Ud. { 21.) The FDA has also stated that foods containing any form of free glutamate cannot include “No MSG” or “No Added MSG” labels on their packaging under § 403(a) of the Food and Drug Administration Act. Ud. § 24.) The agency does, however, treat “added MSG” and ingredients in which “MSG naturally occurs” differently in regard to the ingredient panel on product packaging. Ud.) If “added MSG” is present, the ingredient panel must list monosodium glutamate, but if ingre- dients in which “MSG naturally occurs” are present, the FDA does not require the panel to specify as such. Ud.) The packaging for each of the Products prominently displays a “No Added MSG” label in capital letters and large bold font in light blue circles. (id. 29.) One such label is depicted in the im- age below: (Cee ec . ve : ee | BP MEIN Be eer | ee ee eg leak ly Ge Ae a bee fates Se ‘ECs iS CA (id. § 28.) The packaging also includes the following disclaimer in small lettering: “contains small amounts of naturally occurring glutamates.” (id. { 36.) Defendant also advertises that these Products have “no added MSG” on its website and in product lit- erature. (Id. (27, 31-33.) Despite these labels, certain ingredients in the Products con- tain free glutamates. (id. § 2.) This includes, for example,

“Hydrolyzed Corn Protein,” “Hydrolyzed Soy Protein,” and “Maltodextrin.” Ud. "4 40-41.) Defendant does not, however, add MSG directly into the Products, and monosodium glutamate is not listed on their ingredient panels. (See Ex. A to Chung Decl. (Dkt. 28-3); Ex. B to Chung Decl. (Dkt. 28-4); Ex. C to Chung Decl. (Dkt. 28-5); Ex. D to Chung Decl. (Dkt. 28-6); see also Compl. { 40.) Plaintiff alleges that Defendant includes a “No Added MSG” label on the Products’ packaging and repeats this assertion in ad- vertising to create the impression that the Products do not contain free glutamates or ingredients that contain free gluta- mates. (Ud. 4 35.) A reasonable consumer, according to Plaintiff, would believe that the Products do not contain any free gluta- mates whatsoever because of this representation. Ud. 14 19, 35.) Moreover, she alleges that the qualifying statement on the Prod- ucts’ packaging does not correct this misconception. Ud. § 37.) Plaintiff brings the instant suit on behalf of herself and all other persons who purchased one of the Products in the United States during the applicable statute of limitations period (the “Nationwide Class”). Gd. 165.) In Count I, Plaintiff alleges viola- tion of 44 state consumer protection statutes on behalf of herself and consumers who live in those states (the “Consumer Protec- tion Subclass”). (id. { 76.) She alleges in Counts II and III the violation of N.Y. G.B.L. 8§ 349 and 350 on behalf of herself and all consumers who purchased the Products in New York. Ud. 82-99.) Finally, Plaintiff asserts breach of express warranty and the Magnuson-Moss Warranty Act in Counts IV and V, respec- tively, on behalf of herself and the Nationwide Class. (id. {{ 100- 15.) The Defendant moves to dismiss all counts in the Complaint. (Defs. Mot. at 1.)

Il. LEGAL STANDARD To survive a Rule 12(b)(6) motion to dismiss, “a complaint must contain sufficient factual matter, accepted as true, to ‘state a claim to relief that is plausible on its face.” Ashcroft v. Iqbal, 556 U.S. 662, 678 (2009) (quoting Bell Ati. Corp. v. Twombly, 550 U.S. 544, 570 (2007)).? “A claim has facial plausibility when the plaintiff pleads factual content that allows the court to draw the reasonable inference that the defendant is liable for the mis- conduct alleged.” Id. A complaint must contain facts that do more than present a “sheer possibility that a defendant has acted un- lawfully.” Id. In deciding a motion to dismiss, the court will accept all factual allegations in the complaint as true and draw all reasonable inferences in the plaintiffs favor. Fink v. Time Warner Cable, 714 F.3d 739, 740-41 (2d Cir. 2013).

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Henry v. Nissin Foods (USA) Co., Inc., Counsel Stack Legal Research, https://law.counselstack.com/opinion/henry-v-nissin-foods-usa-co-inc-nyed-2023.