Customers Who Purchased Mislabeled A&W Soda Could Be Eligible For Compensation

Poured into a chilled mug, its frothy head gives way to a sweet sip and a particular flavor expectation in the glass. For some consumers, a mislabeled A&W soda could bring a refund due to a class action lawsuit settlement.

In 2020, a proposed class action lawsuit was filed against A&W and its parent company, Keurig Dr Pepper, alleging its label statement, "Made With Aged Vanilla," was misleading. According to court documents, scientific testing shows that the vanilla flavoring stemmed from a chemical compound, not real vanilla extract. The claim asserted that the flavor phrase created an expectation. By not containing real vanilla flavor, customers might have been swayed to make that purchase because of the misleading information on the beverage label.

As a result of mediation, the class action reached a settlement. Without admitting fault, Keurig Dr Pepper agreed to allocate $15 million to compensate consumers who purchased A&W Root Beer or Cream Soda that was labeled with the phrase "Made With Aged Vanilla." Those purchases, made between February 7, 2016, and June 2, 2023, can be eligible for a $5.50 refund without a receipt or up to a maximum of $25 refund with itemized receipts. Claims from eligible purchasers can be made at RootBeerAndCreamSodaSettlement.com when the website becomes active. It is unclear how long claimants have to file or how long the settlement pool will be available.

A food product label is supposed to come with certain assurances. The Food and Drug Administration sets standards and rules to protect consumers' best interests. When A&W added "made with aged vanilla" to its beverage labels, people assumed that the food product contained real vanilla flavor. The class action lawsuit alleged that the statement misled customers because the soda flavor was derived from a synthetic ingredient used as a vanilla substitute.

Although Keurig Dr Pepper did not admit liability in its class action settlement agreement, its soda labels no longer contain the phrase "made with aged vanilla." The parent company continues to assert that its labels were not misleading and denies the allegations. The decision to resolve the complaint was, per the defendants, "to avoid further expense, inconvenience, and interference with ongoing business operations, and to dispose of burdensome litigation."

But, the beverage brand's labels no longer include the litigated flavor phrase. Although people can speculate on the change, consumers and their watchdogs are vigilantly looking at food products. It is more than a safety recall scenario or safety issue. Food label litigation is on the rise because misleading information can be problematic in the business space. Although advertising can have moments of hyperbole, actual claims must be rooted in fact, which is for the benefit of customers and corporations.