International Rights Advocates, Inc. v. Nestle USA, Inc.

CourtDistrict Court, District of Columbia
DecidedFebruary 5, 2026
DocketCivil Action No. 2025-2603
StatusPublished

This text of International Rights Advocates, Inc. v. Nestle USA, Inc. (International Rights Advocates, Inc. v. Nestle USA, Inc.) is published on Counsel Stack Legal Research, covering District Court, District of Columbia primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
International Rights Advocates, Inc. v. Nestle USA, Inc., (D.D.C. 2026).

Opinion

UNITED STATES DISTRICT COURT FOR THE DISTRICT OF COLUMBIA

INTERNATIONAL RIGHTS ADVOCATES, INC.,

Plaintiff, Civil Action No. 25-cv-2603 (BAH)

v. Judge Beryl A. Howell

NESTLE USA, INC.,

Defendant.

MEMORANDUM OPINION

Plaintiff International Rights Advocates, Inc. brought this lawsuit in the D.C. Superior

Court, under the District of Columbia Consumer Protection Procedures Act (“CPPA”), D.C.

Code § 28-3901 et seq., alleging that defendant Nestlé USA, Inc.’s advertisements misled the

public by claiming that neither child nor forced labor is used to produce defendant’s cocoa

products. Defendant removed this case to federal court based on a calculation of the

jurisdictional monetary amount that deviates from the usual practice on this Court of applying a

non-aggregation principle requiring “the projected amount in controversy [to] be divided among

the beneficiaries of cases that are brought in the public interest.” Inst. for Truth in Mktg. v. Total

Health Network Corp., 321 F. Supp. 3d 76, 89 (D.D.C. 2018) (KBJ).

This same stratagem to satisfy the jurisdictional requirement for removal of a case to this

Court has been employed, and rejected, in other cases. Recently, for example, in International

Rights Advocates, Inc. v. Mars, Inc., 24-cv-894 (RCL), 2025 WL 819580 (D.D.C. Mar. 13,

2025), a removed case involving similar allegations of misleading advertisements regarding

cocoa products as not produced by child labor, the presiding Judge concluded that “the

defendants have not convinced the Court to depart from this District’s conventional wisdom

1 regarding the calculation of the amount in controversy in representative DCCPPA actions: the

cost of complying with a hypothetical injunction must be divided among the beneficiary

population, which in this case is the population of D.C.” Id. at *10. Here, too, defendant fails to

persuade that a departure from longstanding adherence to the non-aggregation principle is

warranted, and therefore, as explained in more detail below, the motion to remand is granted.

I. BACKGROUND

Plaintiff filed the instant case under the CPPA in the Superior Court for the District of

Columbia on May 30, 2025. Notice of Removal, Ex. 1, Super. Ct. Compl. (“Compl.”), ECF No.

1-1. The complaint alleges that “Nestlé makes false and deceptive marketing representations to

D.C. consumers, including that Nestlé has ‘zero tolerance to child labor, forced labor and modem

slavery’ and is ‘firmly opposed to all forms of child exploitation and [] committed to preventing

and eliminating child labour wherever it occurs in [its] supply chain.’” Id. at 1 (alterations in

original) (footnotes omitted). The complaint further alleges that “Nestlé makes statements like

these despite having been aware for more than two decades that its cocoa is produced with child

labor and human trafficking.” Id. As a consequence, “Nestlé’s representations deceive

consumers into believing that Nestlé is taking meaningful action to address and prevent child

labor in its supply chain, while no such thing is occurring,” id. ¶ 10, and this advertising “is false

and misleading to District consumers,” id. ¶ 15.

The CPPA prohibits “any person to engage in an unfair or deceptive trade practice,

whether or not any consumer is in fact misled, deceived, or damaged thereby, including to:”

“represent that goods or services have a source, sponsorship, approval, certification, accessories,

characteristics, ingredients, uses, benefits, or quantities that they do not have;” to “represent that

goods or services are of particular standard, quality, grade, style, or model, if in fact they are of

2 another;” and to “misrepresent as to a material fact which has a tendency to mislead.” D.C. Code

§ 28–3904(a), (d), (e). CPPA contains a private attorney general provision authorizing “a public

interest organization [], on behalf of the interests of a consumer or a class of consumers, [to]

bring an action seeking relief from the use by any person of a trade practice in violation of a law

of the District if the consumer or class of consumer could bring an action under subparagraph

(A) of this paragraph for relief from such use by such person of such trade practice.” Id. § 28–

3905(k)(1)(D)(i). 1 As relief, this lawsuit neither seeks class certification nor damages but rather

“injunctive relief enjoining Defendant from continuing to engage in the unlawful trade practices”

as well as “declaratory relief in the form of an order holding Nestlé’s conduct to be unlawful in

violation of the CPPA and requests its attorneys’ fees and costs incurred in bringing this action.”

Compl. ¶ 31.

After being served, on July 22, 2025, see Notice of Removal, Ex. 4, Proof of Service,

ECF No. 1-4, defendant filed a notice of removal with this Court, on August 8, 2025, see Notice

of Removal, within the thirty-day time limit prescribed by 28 U.S.C. § 1446(b)(1). The notice of

removal asserts diversity subject-matter jurisdiction over this action because plaintiff “is a

nonprofit organized under the laws of the District of Columbia and with its principal place of

business in the District of Columbia,” defendant “is incorporated in Delaware and has its

principal place of business in Virginia,” so “there is complete diversity of citizenship,” and “the

costs of complying with the injunctive relief that [plaintiff] seeks and the attorneys’ fees that

[plaintiff] has requested are reasonably anticipated to exceed $75,000.” Notice of Removal ¶¶ 9-

13.

1 Subparagraph A states: “A consumer may bring an action seeking relief from the use of a trade practice in violation of a law of the District.” D.C. Code § 28–3905(k)(1)(A).

3 After adoption of the parties’ proposed schedule for briefing on the motion to remand,

Minute Order (Aug. 29, 2025), this motion became ripe for resolution on December 8, 2025, see

Pl.’s Reply Mem. in Supp. Pl.’s Mot. to Remand (“Pl.’s Reply”), ECF No. 14.

II. LEGAL STANDARD

A defendant may remove to federal court “any civil action brought in a State court of

which the district courts of the United States have original jurisdiction.” 28 U.S.C. § 1441(a).

Removal is thus appropriate where the case raises questions “under the Constitution, laws, or

treaties of the United States,” 28 U.S.C. § 1331, or “where the matter in controversy exceeds the

sum or value of $75,000, exclusive of interest and costs, and is between . . . citizens of different

States,” 28 U.S.C. § 1332(a)(1). An “essential aspect of this requirement is that any person

invoking the power of a federal court must demonstrate standing to do so.” Va. House of

Delegates v. Bethune-Hill, 587 U.S. 658, 662 (2019) (quoting Hollingsworth v. Perry, 570 U.S.

693, 704 (2013)).

A plaintiff may seek remand of the case back to State court for defects including a “lack

of subject matter jurisdiction.” 28 U.S.C.

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International Rights Advocates, Inc. v. Nestle USA, Inc., Counsel Stack Legal Research, https://law.counselstack.com/opinion/international-rights-advocates-inc-v-nestle-usa-inc-dcd-2026.