PepsiCo could be sued over marketing of Gatorade protein bars, judge rules

PepsiCo can be sued for marketing Gatorade protein bars that are good for you even though they have more sugar than protein and more sugar than regular candy bars, a federal judge has ruled.

In Wednesday’s ruling, US District Judge Casey Pitts in San Jose, California said the three self-described fitness enthusiasts leading the proposed class action clearly found PepsiCo’s marketing and labeling deceptive.

PepsiCo and its attorneys did not immediately respond to requests for comment.

Not all protein bars are equal in nutritional benefits.

PepsiCo was sued last September for violating federal and state consumer protection laws by creating a “health halo” around Gatorade bars, including claims that it “helps rebuild muscle,” “used by experts” and “backed by science.”

According to the lawsuit, the bars are actually a “solid junk food” with 29 grams of sugar, including 28 grams of added sugars — more than the American Heart Association’s recommended limit of 25 grams for women — and just 20 grams of protein.

The plaintiffs said excessive consumption of added sugar is linked to higher rates of obesity, diabetes and heart disease.

They said they would not have bought the Gatorade bars or would have paid less if they had understood their nutrition, and are seeking unspecified damages.

PepsiCo called the fraud claims “improbable” because it did not market the bars as healthy or low in sugar, especially flavors like Chocolate Chip and Cookies and Cream.

Pitts, however, said reasonable consumers may not be able to easily decipher the sugar content on labels, and may be misled by PepsiCo’s “purported scientific claims backed by science.”

The judge also agreed that PepsiCo can make health- and protein-content claims in accordance with federal laws.

He said, for example, that the US Food and Drug Administration does not consider sugar an “ineligible ingredient” when making health claims.

Maia Kats, a lawyer for the plaintiffs, said they accept the decision and will continue to pursue their claims.

PepsiCo is based in Purchase, New York. Its range of products includes Fritos, Lay’s, Mountain Dew and Ocean Spray.

The case is McCausland et al v PepsiCo Inc, US District Court, Northern District of California, No. 23-04526.

-Jonathan Stempel, Reuters