Case - United States - Corporate Accountability Lab v. Hershey and Rainforest Alliance

Corporate Accountability Lab v. Hershey and Rainforest Alliance

Summary of facts

This is a consumer protection case regarding the false and deceptive marketing on Hershey chocolate products. The West African cocoa industry, specifically in cocoa farms in Cote d’Ivoire, is rife with child labor, forced child labor, and farmer poverty. Corporate Accountability Lab (CAL) claims that Rainforest Alliance is misleading consumers through purporting that their farms are part of a sustainable and responsible cocoa production when in fact child labor takes place on those farms. Furthermore, it is alleged that The Hershey Company and Rainforest Alliance exploited cheap labor by financially benefiting from cheap cocoa supplies and continuing to condone hazardous child labor conditions on Rainforest Alliance certified farms.

Timeline

2021 Complaint filed

Jurisdiction
Pending
Applicable Law
American Civil Law: Consumer Protection Procedures Act (CPPA)
Legal issues

Corporate Accountability Lab (CAL) claims that Hershey and Rainforest Alliance have violated CPPA (D.C. Code § 28-3901) by "misrepresent[ing] as a material fact which has a tendency to mislead" and "[failure] to state a material fact if such failure tends to mislead."

The CPPA (§28-2905(k)(1)(C)) allows for public interest groups, such as CAL, to stand in the shoes of a consumer to seek relief from any violation of the CPPA.

CAL claims that defendants advertise and market their products as "sustainable" and "responsible" when, in fact, farms that the Defendant uses violate labor rights and other various human rights.

Ruling / Outcome

The case is ongoing. Plaintiff (CAL) has asked for a trial by jury. Plaintiff requests the following relief:

  • A declaration that the Defendants' conduct violated the CPPA
  • An order enjoining Defendants' conduct found to be in violation of the CPPA; and
  • An order granting Plaintiff costs and disbursements, including attorney and expert fees.
Court case

Corporate Accountability Lab v. Hershey and Rainforest Alliance

United States
Filed: October 27, 2021
Status: Ongoing