The soft drink’s producer has agreed to remove this controversial claim from American packaging in order to settle a series of U.S. class action lawsuits over false advertising
Author of the article:
Joseph Brean
Published Jan 14, 2019 • 3 minute read
Canada Dry Ginger Ale will continue to be marketed in Canada as “Made from Real Ginger” even though the soft drink’s producer has agreed to remove this controversial claim from American packaging in order to settle a series of U.S. class action lawsuits over false advertising.
The company is evaluating the Canadian packaging, but it still makes the “Made from Real Ginger” claim prominently, and there are “no changes to announce at this time,” according to Katie Gilroy, director of corporate communications for Keurig Dr. Pepper.
Advertisem*nt 2
Story continues below
This advertisem*nt has not loaded yet, but your article continues below.
THIS CONTENT IS RESERVED FOR SUBSCRIBERS
Enjoy the latest local, national and international news.
- Exclusive articles by Conrad Black, Barbara Kay and others. Plus, special edition NP Platformed and First Reading newsletters and virtual events.
- Unlimited online access to National Post and 15 news sites with one account.
- National Post ePaper, an electronic replica of the print edition to view on any device, share and comment on.
- Daily puzzles including the New York Times Crossword.
- Support local journalism.
SUBSCRIBE FOR MORE ARTICLES
Enjoy the latest local, national and international news.
- Exclusive articles by Conrad Black, Barbara Kay and others. Plus, special edition NP Platformed and First Reading newsletters and virtual events.
- Unlimited online access to National Post and 15 news sites with one account.
- National Post ePaper, an electronic replica of the print edition to view on any device, share and comment on.
- Daily puzzles including the New York Times Crossword.
- Support local journalism.
REGISTER / SIGN IN TO UNLOCK MORE ARTICLES
Create an account or sign in to continue with your reading experience.
- Access articles from across Canada with one account.
- Share your thoughts and join the conversation in the comments.
- Enjoy additional articles per month.
- Get email updates from your favourite authors.
Don't have an account? Create Account
or
Article content
As part of the American settlement, Keurig Dr. Pepper will also make cash payments to compensate anyone who has bought Canada Dry in the U.S. since 2013, to a limit of $5.20 per household without receipts, or $40 with them. If this settlement is finalized by a court as planned later this year, it will resolve several related class actions that alleged violations of state-level business laws, all based on the ginger claim.
The New York lawsuit, for example, cited “common law fraud, deceit and/or misrepresentation, breach of express and implied warranties and unjust enrichment.”
At issue was Canada Dry’s actual ginger content, which lawyers for the New York plaintiff claimed was negligible and falsely promoted as part of a marketing scheme to make Canada Dry seem like a healthy alternative to regular pop.
Ginger, a spice derived from the rhizome of a flowering plant, is commonly used in alternative health treatments, often focused on digestion, although actual science about its benefits is slim.
Flat ginger ale is a popular folk remedy for upset stomach, often given to sick children as a kind of medicine or restorative. Like other pops, however, Canada Dry is made of high fructose corn syrup, citric acid, preservatives and natural flavours, mixed into carbonated water.
NP Posted
Get a dash of perspective along with the trending news of the day in a very readable format.
By signing up you consent to receive the above newsletter from Postmedia Network Inc.
Article content
Advertisem*nt 3
Story continues below
This advertisem*nt has not loaded yet, but your article continues below.
Article content
Court records suggest there was a 9 per cent rise in sales in the first six months after the addition of “Made from Real Ginger” to Canada Dry’s packaging. A judge who heard preliminary arguments in the California class action lawsuit cited internal company documents that suggested 30 per cent of Canada Dry consumers who increased their consumption did so because of expected health benefits from real ginger.
Research by the New York complainant’s lawyer estimated the actual ginger compound content of Canada Dry at two parts per million, which is below the threshold for human taste, and far lower than any amount that could have health benefits. It claimed that Canada Dry’s “natural flavours” are actually “a flavour compound comprised predominately of flavour extracts not derived from ginger, and a minuscule amount of a ginger flavour extract.”
“Canada Dry’s ginger flavour extract is not ‘real ginger’ as reasonable consumers understand that term,” the lawsuit claims. “It is manufactured in a lab using various chemicals and extraction processes.”
Advertisem*nt 4
Story continues below
This advertisem*nt has not loaded yet, but your article continues below.
Article content
Keurig Dr. Pepper decided to remove the claim claim from its American packaging as part of a negotiated settlement that only applies in the U.S. and will “avoid a protracted litigation process,” Gilroy said in an emailed statement.
“Canada Dry Ginger Ale has always been made using real ginger extract to provide its ginger flavour,” she said.
She declined to answer further questions about this discrepancy, however, such as why the company would not defend against the lawsuit if the claim is true, or how it could put it on Canadian packaging if it is false, or whether the company disputes the two parts per million claim, or how much real ginger is actually in the product.
• Email: jbrean@nationalpost.com | Twitter: josephbrean
Our website is the place for the latest breaking news, exclusive scoops, longreads and provocative commentary. Please bookmark nationalpost.com and sign up for our daily newsletter, Posted, here.
Article content
Comments
You must be logged in to join the discussion or read more comments.
Create an AccountSign in
Join the Conversation
Postmedia is committed to maintaining a lively but civil forum for discussion. Please keep comments relevant and respectful. Comments may take up to an hour to appear on the site. You will receive an email if there is a reply to your comment, an update to a thread you follow or if a user you follow comments. Visit our Community Guidelines for more information.
Trending
- 'Stop these criminals from destroying people' says suicide note after victim kills accused Toronto fraudsters
- Amy Hamm: Nanny state Canada leashes law-abiding citizens as criminals roam free
- Trudeau’s future is tied to the vote of a rich Toronto neighbourhood
- Canada reportedly preparing to evacuate 45,000 citizens from Lebanon amid war fears
- Subscriber only. Conrad Black: The media and Trudeau have yet to return to reality
Subscriber only
Read Next
Latest from Shopping Essentials
- Amazon returns just got substantially easier in Canada: What to know There’s “no box, tape, or label needed”
1day ago Shopping Essentials
- Do juice cleanses work? A three-day juice cleanse was the kickstart I needed for a healthier lifestyle
1day ago Shopping Essentials
Advertisem*nt 2
Story continues below
This advertisem*nt has not loaded yet, but your article continues below.
- Beauty reviews: CHANEL Les Beiges Healthy Glow Sun-Kissed Powder, LolaVie Sculpting Paste, and Belif Aqua Bomb Hydrating Hyalucid Serum The three buzzed-about new beauty products we tried this week.
1day ago
- Makeup tutorial: A fresh take on the frosted eyeshadow trend All the rage back in the '90s and early 2000s, frosted eyeshadow is back in a big way this summer.
1day ago
- Review: Expand Furniture’s Flip Console to Dining Room Set is convenient for small spaces The dining table can accommodate six people
1day ago Shopping Essentials
This Week in Flyers