Costco faces class-action lawsuit over allegedly mislabeling beloved $4.99 item
The wholesale giant has been accused of misleading customers and breaching competition laws
Ellie Kemp
Two Costco customers are suing the store for claiming a popular food product contains 'no preservatives' while alleging that it does.
Already this week, Apple users have begun receiving payments for a class action lawsuit over Siri allegedly eavesdropping on conversations.
While the trillion dollar tech company denies these claims, a spokesperson said it had settled the lawsuit 'to avoid additional litigation'.
Now, two women in California have accused Costco of breaking false advertising laws with their Kirkland rotisserie chicken.
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As USA TODAY reports, the lawsuit, lodged in California and Washington the location of Costco's HQ, claims the product had a large 'no preservatives' label on the front, despite its ingredients listing two different sorts on the back in much smaller writing.
The preservatives in question are sodium phosphate and carrageenan.
Sodium phosphate is used to keep meat moist and help thicken texture, Healthline says, while carrageenan is also used to improve texture and increase shelf-life - both have FDA approval.
The lawsuit includes a photo of an in-store advert for the product, which claims is has 'no preservatives, no artificial flavors or colors, no MSG and no gluten'.
It is also alleged that Costco broke unfair competition laws by participating 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 case is a proposed class action, meaning the plaintiffs want it to cover all customers who bought the $4.99 rotisserie chicken.
They are also asking for money damages, though they haven’t said how much.
But it all depends on the outcome of the lawsuit, of course.
Despite going to the effort of lodging a lawsuit against Costco, the two plaintiffs still plan on buying their rotisserie chicken in the future.
One flagged, however, that she 'cannot rely on Costo's preservative-related representations for the product unless those representations are accurate and consistent with the product’s ingredients'.
Costco confirmed to USA TODAY on Wednesday (January 28) that the 'no preservatives' signage has since been removed.
"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," they said.
"We use carrageenan and sodium phosphate to support moisture retention, texture, and product consistency during cooking.
"Both ingredients are approved by food safety authorities."
UNILAD has contacted Costco for comment.