Health-Ade Kombucha Beverages

March 2019: The plaintiffs moved for preliminary approval of a proposed settlement agreement that would provide class members with a $4 cash award for each product purchased. Class members without proof of purchase may receive a maximum award of $40 while class members with proof of purchase may receive a maximum award of $80. In addition, the company agreed, but only for a period of one year, to add a statement disclosing that the products may contain alcohol. The company also agreed to take steps – including changing the formulation of the products to control the alcohol and sugar content and regularly testing samples of the products – to ensure that the representations on the labels accurately represent the amount of alcohol and sugar in them and comply with federal and state labeling standards.

March 2018: A class-action lawsuit was filed against Health-Ade LLC and Whole Foods Market California for allegedly deceptively marketing its line of Health-Ade Kombucha beverages. Specifically, plaintiffs claim that the companies misleadingly market the beverages as non-alcoholic when, according to the complaint, they contain alcohol and the amount of alcohol in them increases over time. In addition, the complaint alleges that the labels understate the amount of sugar in the beverages to make them appear healthier than they are. (Bayol et al v. Health-Ade LLC and Whole Foods Market California, Inc., Case No. 18-cv-1462, N. D. CA.)

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