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655 F.Supp.3d 696
N.D. Ill.
2023
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Background

  • Plaintiff Eugene DeMaso purchased Walmart’s Great Value “Fudge Mint Cookies” and alleges the front label (the words “Fudge Mint Cookies,” green packaging, and mint-leaf imagery) deceptively implies the product contains actual fudge (i.e., milkfat/dairy) and mint as ingredients.
  • The product’s ingredient list (as pleaded) shows no milkfat and no literal mint; fat is from vegetable shortening and mint flavor derives from natural/artificial flavor compounds.
  • DeMaso filed a putative multi-state class action (26 states) asserting violations of the Illinois Consumer Fraud Act and similar state statutes, breaches of express and implied warranty, MMWA, negligent misrepresentation, fraud, and unjust enrichment; he seeks damages, restitution, and injunctive relief.
  • Walmart moved to dismiss under Rules 12(b)(6) and 12(b)(1), arguing the labels are not misleading as a matter of law and that Plaintiff lacks standing to seek injunctive relief.
  • The court found the front-label terms describe flavors, not ingredient guarantees, concluded a reasonable consumer would not be misled as pleaded, dismissed the ICFA and related claims, dismissed warranty/MMWA and common-law claims tied to the same theory, and dismissed the injunctive claim for lack of standing.
  • Plaintiff was granted leave to amend by February 22, 2023; otherwise dismissal would convert to one with prejudice.

Issues

Issue Plaintiff's Argument Defendant's Argument Held
Whether “fudge” on the front label is deceptive under consumer-protection law "Fudge" denotes real fudge (containing dairy/milkfat); vegetable shortening in product makes label misleading "Fudge" can denote a flavor/texture and need not guarantee specific ingredients; not deceptive as a matter of law Term "fudge" not misleading as pleaded; reasonable consumer would not expect a specific ingredient like milkfat; claim dismissed
Whether “mint” (word, green packaging, mint leaf image) is deceptive The label and imagery lead consumers to expect actual mint ingredient The label conveys a mint flavor, not a promise of the ingredient; no affirmative ingredient claim on the front "Mint" describes flavor, not an ingredient promise; ICFA claim fails
Breach of express/implied warranty and MMWA based on same labeling theory Front label expressly and impliedly warranted product contained fudge and mint ingredients Warranty and MMWA claims rise or fall with falsity of the labeling; no actionable affirmation of fact and product is fit for ordinary use Warranty and MMWA claims dismissed because labeling not false/misleading as pleaded
Standing to seek injunctive relief Plaintiff seeks injunctive relief to prevent future deception Plaintiff is aware of the alleged deception; past exposure without a credible threat of future harm defeats injunctive standing Injunctive-relief claim dismissed for lack of standing under Article III

Key Cases Cited

  • Bell v. Publix Super Markets, Inc., 982 F.3d 468 (7th Cir. 2020) (articulates reasonable-consumer standard for front-label claims)
  • Beardsall v. CVS Pharmacy, Inc., 953 F.3d 969 (7th Cir. 2020) (reasonable-consumer test for deception)
  • Benson v. Fannie May Confections Brands, Inc., 944 F.3d 644 (7th Cir. 2019) (consumer-protection statute purpose and standing discussion)
  • Wigod v. Wells Fargo Bank, N.A., 673 F.3d 547 (7th Cir. 2012) (elements of ICFA claim)
  • Camasta v. Jos. A. Bank Clothiers, Inc., 761 F.3d 732 (7th Cir. 2014) (injunctive-relief standing principles)
  • Twombly v. Bell Atl. Corp., 550 U.S. 544 (Sup. Ct. 2007) (pleading standard plausibility)
  • Ashcroft v. Iqbal, 556 U.S. 662 (Sup. Ct. 2009) (limits on accepting legal conclusions at pleading stage)
  • Lax v. Mayorkas, 20 F.4th 1178 (7th Cir. 2021) (procedural standard for evaluating complaints)
  • Haywood v. Massage Envy Franchising, LLC, 887 F.3d 329 (7th Cir. 2018) (Rule 12(b)(6) pleading standard)
  • Vanzant v. Hill's Pet Nutrition, Inc., 934 F.3d 730 (7th Cir. 2019) (Rule 9(b) heightened pleading for fraud)
Read the full case

Case Details

Case Name: DeMaso v. Walmart Inc.
Court Name: District Court, N.D. Illinois
Date Published: Feb 7, 2023
Citations: 655 F.Supp.3d 696; 1:21-cv-06334
Docket Number: 1:21-cv-06334
Court Abbreviation: N.D. Ill.
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    DeMaso v. Walmart Inc., 655 F.Supp.3d 696