Holk v. Snapple Beverage Corp.

574 F. Supp. 2d 447, 2008 U.S. Dist. LEXIS 46937, 2008 WL 2446844
CourtDistrict Court, D. New Jersey
DecidedJune 13, 2008
DocketCivil Action 07-3018 (MLC)
StatusPublished
Cited by2 cases

This text of 574 F. Supp. 2d 447 (Holk v. Snapple Beverage Corp.) is published on Counsel Stack Legal Research, covering District Court, D. New Jersey primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Holk v. Snapple Beverage Corp., 574 F. Supp. 2d 447, 2008 U.S. Dist. LEXIS 46937, 2008 WL 2446844 (D.N.J. 2008).

Opinion

MEMORANDUM OPINION

COOPER, District Judge.

INTRODUCTION

Plaintiff, Stacy Hoik (“Plaintiff’), commenced this action on behalf of herself and all others similarly situated against Snapple Beverage Corporation (“Snapple”). (Dkt. entry no. 25, Amend. Compl.) Plaintiff alleges, inter alia, that Snapple (1) violated the New Jersey Consumer Fraud Act, N.J.S.A. § 56:8-1 et seq., (2) was unjustly enriched by its wrongful and deceptive conduct, and thus, should be required *449 to disgorge its “illegally gotten gains”, (3) breached certain of its express warranties, and (4) breached the implied warranty of merchantability. (Id.) Snapple moves to dismiss the amended complaint with prejudice, or, in the alternative, without prejudice pursuant to the primary jurisdiction doctrine. (Dkt. entry no. 26.) Plaintiff opposes the motion. (Dkt. entry no. 29.) For the reasons stated herein, the Court will grant the motion.

BACKGROUND

I. Overview of Plaintiffs Factual Allegations

The Court, for the purpose of addressing this motion only, will accept as true the following factual allegations contained in the amended complaint. See Cal. Pub. Employees’ Ret. Sys. v. Chubb Corp., 394 F.3d 126, 134 (3d Cir.2004).

Snapple manufactures and sells beverages throughout the United States. (Dkt. entry no. 25, Amend. Compl, at ¶ 19.) In its advertising and marketing materials, Snapple describes its iced tea and juice drinks as “All Natural”. (Id. at ¶ 22.) Plaintiff asserts, however, that Snapple’s iced tea and juice drinks are not “All Natural” because they contain High Fructose Corn Syrup (“HFCS”), a highly processed sugar substitute. (Id. at ¶¶ 23-24.) Specifically, HFCS is produced when:

[Cjornstarch is first treated with a purified enzyme, alpha-amylase, to produce shorter chains of sugars called polysaccharides .... The polysaccharides (short chains of sugar) are then broken down even further by adding a second enzyme called glucoamylase.... The addition of glucoamylase to the polysaccharides yields the simple sugar glucose. In lieu of using alpha-amylase or glucoamylase, acids may be used in the HFCS production process. A third enzyme, gluco-isomerase, then converts glucose to a mixture of about 42 percent fructose and 50 to 52 percent glucose with some other sugars (or short polymers of glucose) mixed in. While alpha[-]amylase and glucoamylase are added directly to the slurry, pricey glucose-isomerase is packed into columns and the sugar mixture is then passed over it. The sweet liquid with 42 percent fructose is used as HFCS 42 in some applications. To obtain a higher percentage of fructose in HFCS, two or more steps are necessary.

(Id. at ¶¶ 27-31.) Thus, Plaintiff argues that the molecules in HFCS do not originate from natural sources, but instead are created through “enzymatically catalyzed chemical reactions in factories”. (Id. at ¶ 33.)

Plaintiff purchased two bottles of Snapple’s Acai Blackberry Fruit Juice Drink on May 4, 2007. (Id. at ¶ 37.) She paid $1.09 per bottle. (Id.) Plaintiff asserts that she purchased other Snapple beverages “[a]t various other times over the course of the preceding six (6) years”, and Snapple advertised and promoted its products as being “All Natural” at the time of each purchase. (Id. at ¶¶ 38-40.) Plaintiff contends that, inter alia, she suffered losses ás a result of Snapple’s misleading, inaccurate, and deceptive advertising “in that she paid a premium for Snapple’s beverages but received something less than and different from what was promised and bargained for.” (Id. at ¶44.)

II. The Federal Food, Drug, and Cosmetic Act

The Federal Food, Drug, and Cosmetic Act, 21 U.S.C. § 301 et seq., (“FFDCA”) gives the Federal Food and Drug Administration (“FDA”) broad authority to regulate food and beverage labeling. There is no private right of action under the FFDCA. 12 U.S.C. § 337(a). Instead all proceedings to enforce or “restrain violations of’ the FFDCA must be commenced *450 by the United States. Id. The FDA can enforce the FFDCA by, inter alia, recalling products that violate its provisions or seeking a judicial order enjoining such products. See 21 U.S.C. § 332; 21 C.F.R. § 7.40.

The FDA has promulgated comprehensive regulations pursuant to its authority under the FFDCA. 21 C.F.R. § 1.1 et seq.; see 21 U.S.C. § 341 (“Whenever in the judgment of the Secretary such action will promote honesty and fair dealing in the interest of consumers, he shall promulgate regulations fixing and establishing for any food ... a reasonable definition and standard of identity, [or] a reasonable standard of quality!.]”). With respect to beverages containing fruit or vegetable juice, these regulations require that:

[for] a carbonated or noncarbonated beverage that contains less than 100 percent and more than 0 percent fruit or vegetable juice, the common or usual name shall be a descriptive name ... and, if the common or usual name uses the word “juice,” shall include a qualifying term such as “beverage,” “cocktail,” or “drink” appropriate to advise the consumer that the product is less than 100 percent juice (e.g., “diluted grape juice beverage” or “grape juice drink”).

21 C.F.R. § 102.33(a). Further, if the product is a diluted multiple juice drink or a blend of single-strength juices, then the juices must be listed on the product label in descending order of prominence by volume, with certain exceptions. 21 C.F.R. § 102.33(b).

The FDA regulations contain detailed rules pertaining to (1) the common or usual name for diluted multiple-juice beverages or a product containing a blend of single-strength juices, (2) label depictions by “vignette or other pictorial representation” on products that have been either modified such that the original juice is not recognizable when processing is complete, or diminished of nutrients, and (3) naming juices made completely or partially from concentrate. 21 C.F.R. § 102.33(c)-(g).

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Bluebook (online)
574 F. Supp. 2d 447, 2008 U.S. Dist. LEXIS 46937, 2008 WL 2446844, Counsel Stack Legal Research, https://law.counselstack.com/opinion/holk-v-snapple-beverage-corp-njd-2008.