On April 27, Chipotle Mexican Grill Inc announced that it had rolled out a menu that does not contain genetically modified organisms (GMOs) in its ingredients. But this week a California woman claims that the restaurant chain resorted to false advertising to boost its stock price.
Colleen Gallagher filed a lawsuit against the company last week. The woman alleges that Chipotle violated federal rules on food labeling because it resorted to misleading advertising to persuade customers to pay more for their food.
In their ‘G-M-Over it’ campaign the restaurant chain claims that it has menus that are GMO-free. But Gallagher, who filed the lawsuit Aug. 28 with a court in San Francisco, said that Chipotle’s restaurants never had such menus.
On the other hand, Chipotle has set in place disclaimers, stating that it was impossible for all its food to be GMO-free since the U.S. feeds nearly all cattle with genetically engineered feed. As a result, diary products and meat contain some GMOs from the animals’ food.
Additionally, the beverages sold in the restaurant also contain GM ingredients, according to court papers. Gallagher complained that most customers won’t read the disclaimers, so they would fell for the false or misleading ads.
The lawsuit was classified as class action and the plaintiff declined to be more specific on the damages. Chris Arnold of Chipotle didn’t provide any more details but he said that his company planned to contest allegations.
In the U.S., many adults said that they were willing to pay some extra for food that is healthier or less processed. Many retailers have confirmed the trend at their stores, as well.
Back in April, Chipotle’s founder Steve Ells told reporters that becoming all organic was easy because the restaurant chain didn’t have too many ingredients on its menus. He also said that his company was especially interested in choosing the suppliers that can provide healthy ingredients for more than 20 years.
Ells said that the restaurant chain is not that much into preservatives, additives, and artificial colors.
‘We’d just rather not be a part of that,’
Colleen Gallagher also started a suit against Bayer AG because the German pharmaceutical company allegedly used false advertising to promote phony health benefits of ‘One A Day’ multivitamins.
A couple of weeks ago, Bayer was refused the request to dismiss the lawsuit. The law firm that represents Gallagher in both lawsuits declined to comment on the case.
Image Source: Flickr
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