Costco Class Action Lawsuit: Can You Join? What Customers Should Know
Costco is facing a class action lawsuit from its fee-paying members and customers, regarding false advertising of one of their highest-selling products.
According to legal documents obtained by USA TODAY, filed on January 22 in the U.S. District Court for the Southern District of California, the retailer is accused of illegitimately claiming that its rotisserie chicken contains “no preservatives.”
These files went on to state that Costco’s Kirkland Signature Seasoned Rotisserie Chicken contains two added preservatives: sodium phosphate and carrageenan. Costco has been accused of engaging in "unfair business acts and practices by tricking Plaintiffs and members of the California Subclass into purchasing or alternatively paying a premium for its rotisserie chicken by advertising the product with ‘no preservatives,'" the lawsuit claims.
The wholesaler has responded that the named preservatives are used in the product, confirming the claims brought to court by two female customers from California. "To maintain consistency among the labeling on our rotisserie chickens and the signs in our warehouses/on-line presentations, we have removed statements concerning preservatives from the signs and on-line presentations," the company said in a statement.
"We use carrageenan and sodium phosphate to support moisture retention, texture, and product consistency during cooking. Both ingredients are approved by food safety authorities," they continued.
The filing contends that Costco's use of carrageenan in its chicken thickens its foods, but has no nutritional value. Moreover, its inclusion directly contradicts the "no preservatives" sign prominently displayed in Costco stores and on the company's website, all while listing the ingredient on the back of the packaging in smaller and "less prominent" print.
How Can I Join the Costco Class Action Lawsuit?
The lawsuit is still in the proposal stages, so no customers can sign up yet until the class group has been confirmed. However, as USA TODAY confirms, if the suit is certified by the court, the class would include anyone in the United States who purchased Costco's rotisserie chicken, not just the customers of California, although they have been proposed as a subclass.
The plaintiffs are also requesting "unspecified monetary damages" for the currently-undetermined class(es), and have stated they are willing to purchase Costco's rotisserie chicken — instead, they ask for accuracy and consistency in its advertising to the retailer's customers. Whether this will affect the progression of the lawsuit is yet to be determined.