Celsius Lawsuit: Unveiling the Facts and Implications
Celsius, a popular energy drink company, has recently been the subject of a class action lawsuit. The litigation stemmed from allegations that the company misled customers about the ingredients in its products. Specifically, plaintiffs argued that Celsius included citric acid as a preservative in some of its beverages, even though it claimed the drinks were preservative-free.
As a result of the settlement, individuals who purchased a Celsius drink within the last seven years may be eligible for compensation of up to $250. This development has come as a shock to many customers who may have been unaware of the discrepancies in Celsius’s ingredient claims.
Celsius Lawsuit Overview
Celsius, a popular energy drink company, faced a class action lawsuit over allegations of deceptive marketing practices. The lawsuit focused on Celsius’ claims of having “no preservatives” in their fitness drink products, which was disputed by the plaintiffs.
In April 2023, a federal judge granted final approval to a $7.8 million settlement between Celsius and the consumers who filed the class action lawsuit. U.S. District Judge Jennifer H. Rearden, presiding over the case in a New York federal court, concluded the legal proceedings with this decision.
As a result of the settlement, customers who purchased Celsius energy drinks may be eligible to receive up to $250 as compensation. This outcome affects a significant number of consumers who believed in the company’s “no preservatives” marketing approach when purchasing the product.
It is important to note that this lawsuit is unrelated to another legal case involving a bankrupt cryptocurrency lender named Celsius Networks. The latter case was filed by the New York attorney general against the co-founder of the company for alleged fraudulent activities in the cryptocurrency space.
In conclusion, the Celsius energy drink lawsuit serves as a reminder for companies to be transparent in their marketing efforts, and for consumers to remain vigilant about the products they purchase. The impact of this specific lawsuit will likely lead to increased scrutiny of companies’ marketing strategies and product labeling in the future.
Lawsuit Allegations
The Celsius lawsuit revolves around allegations that the company has been misleading consumers about its energy drink’s ingredients and their effects. Specifically, the plaintiffs argue that the use of citric acid as a flavor enhancer and preservative in the drink has led to confusion and misconceptions about the product’s true contents and potential consequences for consumers.
Citric acid, known for its sour taste, is commonly used in food and drink products to enhance flavor and extend shelf life. However, as a preservative, it can be controversial due to potential health implications. In the case of the Celsius lawsuit, the plaintiffs claim that the company has not been transparent about the inclusion of citric acid in their formula.
Another point of contention in the lawsuit is the allegedly misleading portrayal of the energy drink’s overall health benefits. The plaintiffs argue that Celsius’s marketing tactics have been designed to create an impression of a healthy, beneficial beverage, while in reality, certain ingredients, such as preservatives, may be harmful or counterproductive to individuals looking for a healthy option.
In response to the allegations, Celsius has maintained a confident and clear stance that the claims are unfounded. The company argues that their product is formulated with caution and consideration, and that the inclusion of citric acid is not uncommon or dangerous. Furthermore, they maintain that their marketing materials accurately represent the drink’s contents and benefits.
The Celsius lawsuit serves as a cautionary tale for companies to remain transparent in their marketing efforts and ingredient lists. It is crucial for consumers to have access to accurate information about potential health effects and any potential risks associated with the ingredients in their favorite drinks and food products. This case highlights the importance of consumer diligence when selecting products, and the necessity for companies to be as clear and neutral as possible in their advertising and labeling.
Settlement Terms
Celsius, a popular energy drink company, has agreed to a settlement concerning a class action lawsuit that accused the company of misleading customers about its ingredients. Under the terms of the settlement, eligible claimants can receive compensation of up to $250.
The lawsuit primarily focused on Celsius’s “no preservatives” marketing claims, which some consumers found deceptive and inaccurate. To resolve the issue, the company reached a $7.8 million settlement, which received final approval from U.S. District Judge Jennifer H. Rearden on April 5 source.
Individuals who purchased a Celsius beverage or powdered drink between January 1, 2015, and November 23, 2022, are eligible to participate in the settlement. To claim the compensation, eligible customers must submit a claim form through the Celsius Class Action Settlement website.
The distribution of settlement awards to timely and valid claims began on June 5, 2023. This settlement aims to provide a fair resolution for affected customers while ensuring that the company adheres to more transparent marketing practices in the future.
Affected Products
In the recent class action lawsuit involving Celsius, various products have been identified as potentially having misleading claims. These products include the Original Celsius, Celsius Heat, Celsius BCAA+Energy, Celsius with Stevia, Celsius On-The-Go, Flo Fusion, and Flo Fusion Powdered Drinks. These beverages, marketed under the Celsius Live Fit brand, were alleged to have falsely claimed “no preservatives” in their advertising.
The Original Celsius and Celsius Live Fit are known for being popular energy-boosting and fitness-oriented beverages, while the Celsius Heat line offers pre-workout drinks with additional thermogenic properties. BCAA+Energy products focus on muscle recovery and energy enhancement, combining branched-chain amino acids with energizing ingredients.
Celsius Stevia products provide a natural sweetener alternative for those who prefer to avoid artificial sweeteners. The On-The-Go line offers convenient, portable packets to be mixed with water, making it easy for consumers to boost their energy levels while on the move. Flo Fusion and Flo Fusion Powdered Drinks are designed to be mixed into water or other beverages, providing additional flavor and nourishment.
The lawsuit squarely addressed the “no preservatives” claims made by Celsius, which were found to be deceptive. As a result, consumers who purchased these affected products may be eligible for compensation of up to $250 as part of the $7.8 million settlement. The resolution of this lawsuit aims to ensure that customers receive accurate information about the products they consume and that companies remain accountable for their marketing claims.
Claim Submission
Submitting a claim in the Celsius lawsuit is a straightforward process. To start, individuals need to access the appropriate claim form and provide the necessary information. The form requires details such as their name, address, and contact information.
It is an important aspect of the claim submission to present proof of purchase. Those with receipts can claim up to $250, while those without receipts will be eligible for a maximum reimbursement of $20. This distinction is crucial because people can receive $1 for every can and $5 for every 14-count package of Celsius they purchased during the eligible time period.
Please note that there was a deadline set for submitting claims, which must be taken into consideration. The deadline has passed and any claims after this point are no longer valid.
In summary, claim submission for the Celsius lawsuit involved accessing the claim form, providing the necessary information, and obtaining the appropriate refund based on whether or not receipts were available. Following these steps ensured a smooth and efficient process for those involved in the lawsuit. The deadline for this submission was a crucial factor for eligibility, and claims made beyond this time were deemed invalid.
Settlement Timeline
The Celsius lawsuit originated from claims that the energy drink company misled consumers about its ingredients and “no preservatives” marketing. The class action lawsuit covers purchases of Celsius beverages made between January 1, 2015, and November 23, 2022.
In 2023, a federal judge granted final approval to a $7.8 million settlement between Celsius and consumers. This outcome allows individuals who purchased Celsius products during the specified timeframe to submit claims for compensation, with potential refunds of up to $250.
On February 13, 2023, news spread about the Celsius Class Action Settlement, informing consumers of their eligibility for compensation. Those who had bought Celsius fitness water within the designated period could file a claim.
The settlement demonstrates the conclusion of the legal process surrounding this issue, with affected consumers having the opportunity to seek financial remedy.
Eligibility and Payout
Eligible consumers who purchased Celsius energy drinks between January 1, 2015 and November 23, 2022 may receive compensation from the class action lawsuit settlement. The lawsuit alleged that Celsius Holdings, Inc. labeled its products misleadingly, describing them as containing ‘no preservatives’ while they actually contain preservatives.
To qualify for a payout, class members must prove their purchase(s) with a receipt or other proof of purchase during the specified time frame. Compensation for eligible consumers can be up to $250. The exact payout amount may vary depending on the number of valid claims and total amount of the settlement.
Households may be eligible for compensation if the Celsius products were purchased for household consumption, rather than for resale. Class members with multiple households in one residence may submit claims separately, as long as each household meets the eligibility requirements.
This class action settlement aims to provide compensation to customers and consumers who were potentially misled by the company’s labeling practices. By participating in the settlement, class members acknowledge their eligibility for a payout and contribute to holding the company accountable for its actions.
It is essential for eligible consumers to be aware of the terms and deadlines involved in this class action settlement to ensure they receive their rightfully deserved compensation. For more information on how to submit a claim, class members should visit the appropriate settlement website or seek legal guidance.
Additional Information
Celsius Holdings, Inc., the company behind the popular Celsius energy drinks, has recently faced a class action lawsuit after misleading customers about the presence of preservatives in their products. The lawsuit claimed that the company marketed the beverages as having “no preservatives,” despite containing citric acid.
In response to the legal claims, a settlement has been reached, awarding customers compensation. Customers who have purchased original Celsius beverages in the United States during the specified time frame may be eligible for up to $250 in compensation. The Celsius settlement amounts to a total of $7.8 million, granted final approval by U.S. District Judge Jennifer H. Rearden on April 5 in a New York federal court.
This lawsuit has had an impact on both Celsius Holdings and the customers who believed in their products. Although the company has not entered into any endorsement deals as a result of this lawsuit, the issue at hand serves as a reminder for consumers to be vigilant about product claims and for companies to ensure their marketing is accurate and transparent.
For more information about the ongoing proceedings and eligibility for the Celsius class action settlement, visit the official website, where you can find further details and instructions on how to claim the compensation if you are eligible. It is essential to stay informed and take necessary steps to secure any potential reimbursement.
