Monday, July 7, 2014

The Aftermath of the POM v. Coca-Cola, Co. Decision: FDCA No Longer Protects Companies from False Advertising Lawsuits

In a recent decision, POM Wonderful LLC v. Coca-Cola Co.,  the US Supreme Court ruled that private parties could bring Lanham Act claims against packaging labels that otherwise satisfied the Food, Drug, and Cosmetic Act. 
This decision reversed a Ninth Circuit "battle of the beverages" decision, and paved the way for an increase in lawsuits amongst companies against their competitors whose products satisfied the FDCA, but could be seen as "misleading" to consumers. 
This decision means that companies may need to monitor court decisions following the POM case, conduct closer audits of their existing product labels to ensure that they are in compliance with the Lanham Act, and pay much closer attention to all advertisements prior to publication for compliance with the FDCA and Lanham Act. 
What are your thoughts? 

No comments:

Post a Comment