Skip to main content
Business

Taco Bell sued for beefy false advertising, 5 companies settled suits


Taco Bell is facing a class action lawsuit claiming the fast food giant deceived customers about how much filling was in five menu items, including the Crunchwrap Supreme and Mexican Pizza. Attorneys bringing the lawsuit hope to get at least $5 million from the company for customers that bought the items at locations in New York state over the last three years. The situation is reminiscent of a suit against Subway over the length of its footlongs a few years ago.

Companies get in trouble for these types of practices all the time. Here are five times customers called out false advertising in this week’s Five For Friday.

5: L’Oréal

Cosmetics companies are going to tell you their products will make you look better, but they have to be careful what they promise.

Customers paid as much as $132 per bottle for L’Oréal’s Genifique and Youth Code products for “visibly younger skin in seven days” and boosted genes. But the company didn’t have scientific data to back up the ads and the Federal Trade Commission (FTC) went after it for false advertising. By 2014, the regulator barred L’Oréal from making claims that any of its products target genes to make skin look or act younger.

4: Lumosity

The idea of improving cognitive function by playing a game on your phone almost sounds too good to be true. Lumosity claimed you could prevent memory loss, dementia and even Alzheimer’s disease with regular sessions. Its ads even said students would excel in school while using the subscription program.

But in 2016, the FTC found there was no proof and levied a $2 million fine against the company. It was all part of the agency’s effort at the time to crack down on apps making health claims.

3: Red Bull

The slogan “Red Bull gives you wings” helped the Austrian-owned brand sell a lot of caffeinated beverages. But it also got the company in trouble to the tune of $13 million back in 2014.

Customers didn’t literally believe they would sprout wings, but plaintiffs claimed the drink offered no physical boost. Red Bull had to refund customers $10 in cash or $15 worth of product, which is a wonderful way of keeping customers. The company claimed it didn’t do anything wrong but wanted to avoid legal wrangling that would cost a ton of money in court.

2: Airborne

Airborne is best known as the tablet developed by a school teacher to prevent colds. The brand later backtracked those claims and moved to a more general statement that the supplement “boosts your immune system.” Neither was proven and Airborne was the subject of a class action lawsuit, which settled for $23.3 million in 2008.

Again, the company denied wrongdoing but still had to offer refunds to customers that believed the ad campaigns.

1: Activia and DanActive

Interest in gut health has really spiked in recent years, but Dannon’s Activia and DanActive were ahead of the curve in 2010, employing actress Jamie Lee Curtis to pitch the yogurts in commercials.

The ads said the products were scientifically proven to regulate digestion and help the immune system. Those claims helped Dannon sell the product at a 30% premium over other yogurt brands. Like many companies on the list, a judge ruled there was no proof and Dannon was forced to pay $45 million to those affected.

Tags: , , ,

SIMONE DEL ROSARIO:

ONE IS NOT LIKE THE OTHER. TACO BELL’S FACING A 5 MILLION DOLLAR CLASS ACTION LAWSUIT OVER MISREPRESENTING HOW MUCH FILLING IS IN MENU ITEMS LIKE THE CRUNCH WRAP SUPREME AND MEXICAN PIZZA. COMPANIES GET IN TROUBLE FOR THIS ALL THE TIME. WE’VE GOT 5 TIMES CUSTOMERS CRIED “FALSE ADVERTISING” IN THIS WEEK’S FIVE FOR FRIDAY.

OF COURSE COSMETICS COMPANIES WILL TELL YOU THEIR PRODUCTS MAKE YOU LOOK BETTER, BUT BE CAREFUL WHAT YOU PROMISE. CUSTOMERS DISHED OUT AS MUCH AS $132 PER BOTTLE FOR “VISIBLY YOUNGER SKIN IN 7 DAYS” AND BOOSTED GENES FROM L’OREAL’S GENEFIQUE AND YOUTH CODE PRODUCTS IN 2009. BUT WITHOUT SCIENTIFIC EVIDENCE TO BACK IT UP, THE FTC WENT AFTER ‘EM. BY 2014, L’OREAL WAS BARRED FROM MAKING CLAIMS ANY OF ITS PRODUCTS TARGET GENES TO MAKE SKIN LOOK OR ACT YOUNGER.

WOULDN’T IT BE GREAT IF YOU COULD IMPROVE COGNITIVE FUNCTION BY SIMPLY PLAYING A GAME ON YOUR PHONE? THE FOLKS AT LUMOSITY CLAIMED YOU COULD. IN FACT THEY SAID IT COULD PREVENT MEMORY LOSS, DEMENTIA, AND EVEN ALZHEIMERS. EVEN EXCEL IN SCHOOL. BUT IN 2016, THE FTC FOUND NO SCIENTIFIC PROOF TO BACK THE CLAIMS AND HIT ‘EM WITH A $2 MILLION FINE. IT WAS ALL PART OF THE AGENCY’S CRACKDOWN AT THE TIME ON APPS MAKING HEALTH CLAIMS.

THOSE CLAIMS WERE CALLED INTO QUESTION BACK IN 2014 TO THE TUNE OF $13 MILLION. OK, CUSTOMERS DIDN’T LITERALLY EXPECT WINGS. BUT PLAINTIFFS COMPLAINED THAT POUNDING THE CAFFEINATED BEVERAGE DIDN’T OFFER ANY ACTUAL PHYSICAL BOOST. THE AUSTRIAN COMPANY WAS FORCED TO GIVE CUSTOMERS 10 BUCKS CASH OR $15 WORTH OF PRODUCT. THEY SAID THEY DIDN’T DO ANYTHING WRONG BUT WERE AVOIDING A LEGAL CIRCUS.

YOU’VE PROBABLY HEARD OF AIRBORNE AS THE TABLET DEVELOPED BY A SCHOOL TEACHER TO PREVENT COLDS. THEN THEY BACKTRACKED A BIT TO SAY IT “BOOSTS YOUR IMMUNE SYSTEM.” NEITHER WAS PROVEN AND EVENTUALLY AIRBORNE GOT HIT WITH A CLASS ACTION SUIT, SETTLING FOR $23.3 MILLION IN 2008. THE COMPANY REFUSED WRONGDOING, BUT STILL HAD TO OFFER REFUNDS TO WRONGED CUSTOMERS. YOU DO THE MATH.

GUT HEALTH IS ALL THE RAGE THESE DAYS. BUT YOU PROBABLY REMEMBER COMMERCIALS LIKE THIS FROM 2010 WITH ACTRESS JAMIE LEE CURTIS PITCHING ACTIVIA AND DANACTIVE YOGURT AS SCIENTIFICALLY PROVEN TO REGULATE DIGESTION AND HELP YOUR IMMUNE SYSTEM. THOSE CLAIMS HELPED IT SELL AT A 30% PREMIUM OVER OTHER YOGURT BRANDS. BUT STOP ME IF YOU’VE HEARD THIS BEFORE, A JUDGE RULED THERE WAS NO PROOF AND DANON SHELLED OUT $45 MILLION TO THOSE AFFECTED.

AS FOR THE TACO BELL PLAINTIFFS, THEY’RE HOPING THEY’LL FARE BETTER THAN THE KNUCKLEHEADS THAT SUED SUBWAY OVER THE LENGTH OF THEIR FOOTLONGS. THAT’S FIVE FOR FRIDAY, I’M SIMONE DEL ROSARIO. IT’S JUST BUSINESS.