Proposed settlement in class-action lawsuit alleging Trader Joe's mislabeled certain products 'All Natural' or '100% Natural includes restitution fund of US$3.375M; Trader Joe's says it is settling to avoid expense, controversy

Cindy Allen

Cindy Allen

SAN FRANCISCO , March 7, 2014 (press release) – The following is being released by the Court-appointed Settlement Administrator, Rust Consulting, regarding Larsen v. Trader Joe's Company.

A settlement has been proposed in a class action lawsuit alleging that Trader Joe's mislabeled certain products "All Natural" or "100% Natural." Trader Joe's denies it did anything wrong or unlawful, and asserts the Products' labels were truthful, not misleading, and consistent with the law. Trader Joe's enters into this settlement solely to avoid the further expense, inconvenience, and distraction of any burdensome and protracted litigation and to be completely free of any further controversy with respect to this lawsuit.

The United States District Court for the Northern District of California authorized this notice. Before any money is paid, the Court will have a hearing to decide whether to approve the settlement.

All consumers in the United States who purchased, on or after October 24, 2007 through February 6, 2014, certain Trader Joe's food products that were labeled "All Natural" or "100% Natural" but contained certain, allegedly synthetic ingredients, including ascorbic acid, cocoa processed with alkali, sodium acid pyrophosphate, sodium citrate, xanthan gum, and vegetable mono- and diglycerides. The Trader Joe's food products are: Joe-Joe's Chocolate Vanilla Creme Cookies; Joe-Joe's Chocolate Sandwich Creme Cookies; Trader Joe's Jumbo Cinnamon Rolls; Trader Joe's Buttermilk Biscuits; Trader Giotto's 100% Natural Fat Free Ricotta Cheese; and Trader Joe's Fresh Pressed Apple Juice ("Products"). Specifically excluded from the Settlement Class are: (i) Trader Joe's and its employees, principals, officers, directors, agents, affiliated entities, legal representatives, successors and assigns; (ii) the judges to whom this action has been or is assigned and any members of their immediate families; and (iii) all consumers who have filed a timely Request for Exclusion from the Settlement Class.

The lawsuit claims that Trader Joe's mislabeled the Products by claiming they were "All Natural" or "100% Natural" despite the fact they contained certain, allegedly synthetic ingredients. Trader Joe's denies it did anything wrong. The Court has not decided who is right. Both sides have agreed to settle the dispute and give benefits to Settlement Class Members.

The settlement provides a restitution fund of $3,375,000. Settlement Class Members who timely submit valid Claim Forms by June 16, 2014 may be entitled to receive a cash payment from the fund for up to ten (10) total Products in the following amounts without providing Proof of Purchase: Joe-Joe's Chocolate Vanilla Creme Cookies ($2.70); Joe-Joe's Chocolate Sandwich Creme Cookies ($2.70); Trader Joe's Jumbo Cinnamon Rolls ($3.99); Trader Joe's Buttermilk Biscuits ($2.93); Trader Giotto's 100% Natural Fat Free Ricotta Cheese ($3.62); Trader Joe's Fresh Pressed Apple Juice ($2.79). Settlement Class Members who claim more than ten (10) Products must submit a Proof of Purchase establishing the purchase(s) during the Settlement Class Period for each Product claimed in excess of ten (10).

Under the terms of the settlement, the restitution fund will first be used to pay any and all court-ordered Attorneys' Fees and Expenses, incentive awards, and Settlement Administration Expenses incurred. What remains of the fund will be used to pay valid and eligible cash Claims. If the total amount of valid and eligible Claims exceeds the amount remaining in the $3,375,000 fund, then each Authorized Claimant's Award shall be proportionately reduced based on the available funds. An "Authorized Claimant" is a Settlement Class Member who timely submits a valid Claim Form in accordance with the terms of this settlement.

The details of this settlement, including Claim Forms, are available at http://www.tjallnaturalclassaction.com.

The Court appointed the law firms Feinstein Doyle Payne & Kravec, LLC, Braun Law Group, P.C., and the Law Offices of Janet Lindner Spielberg to represent you as "Co-Lead Counsel" of the Settlement Class.

If you don't want to be legally bound by the settlement, you must exclude yourself by June 2, 2014, or you won't be able to sue, or continue to sue, Trader Joe's about the legal claims in this case. If you exclude yourself, you can't get money from this settlement. If you stay in the settlement, you may object to it by June 2, 2014. The detailed notice, which can be found at http://www.tjallnaturalclassaction.com, explains how to exclude yourself or object.

The Court will hold a hearing at 2:00 p.m. on July 9, 2014 at the United States District Court for the Northern District of California, located at 450 Golden Gate Ave., San Francisco, CA 94102 before the Honorable William H. Orrick in Courtroom 2, 17th Floor. The Court will consider whether to approve the settlement and whether to grant Co-Lead Counsel's requests for no more than $950,000 in Attorneys' Fees and Expenses and a $2,500 incentive award to each of the Plaintiffs. You do not need to retain an attorney or attend the hearing, although you have the right to do so.

You can get a detailed notice and other information that explains this case and how to make a claim, exclude yourself, or object by calling toll free 1-855-793-1363, visiting http://www.tjallnaturalclassaction.com, or write to Trader Joe's Settlement, P.O. Box 3063, Faribault, MN 55021-2663.

Claim forms must be postmarked or submitted online by June 16, 2014.

SOURCE Rust Consulting

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