Hershey won a class action lawsuit that claimed the chocolate giant deceived customers who bought Halloween-themed Reese’s candy expecting the spooky designs featured on the packaging.
A federal judge last week granted Hershey’s motion to dismiss the complaint on grounds that the customers suffered no injury.
The class action was filed last year in southern Florida, with plaintiffs claiming they were misled by the packaging of pumpkin- and ghost-shaped candies that featured “cool, carved designs.” The customers claimed they bought the product based on the packaging and were disappointed when the candies were blank.
Hershey argued the plaintiffs didn’t suffer financial injury, because they still received “delicious Reese’s candy,” noting the customers did not allege the products were defective or did not meet flavor expectations. The packaging also included pictures of the uncarved designs, the food giant noted, in addition to including a “decorating suggestion” disclaimer for the artistic renderings.
The initial lawsuit sought at least $5 million in damages.
Anthony Russo, the attorney representing the plaintiffs, said the court’s order was a procedural ruling and not a decision based on the merits of the case.
“[W]e’re taking immediate steps to protect our clients and all consumers and ensure truthful, non-misleading labeling,” Russo said in an email.
Hershey didn’t immediately respond to Food Dive’s request for comment.
Hershey released several new products for Halloween this year, including miniature Reese’s in collaboration with Peanuts’ “It’s the Great Pumpkin Charlie Brown.” It also released vampire-shaped Kit Kats and Twizzlers in the form of ghosts.
Earlier this year, Pennsylvania-based Hershey announced that it planned to raise candy prices by double-digits due to the “unprecedented cost of cocoa.” In its most recent earnings report, Hershey saw consolidated net sales of $2.6 billion, which represented a 26% year-over-year increase. The earnings were boosted by earlier shipments of Halloween candy, as consumers jumped on “summer-ween,” according to the company’s latest earnings call.
