Keurig Class Action Settlement Proceeds

To satisfy charges that it misled its customers about the broad recyclability of its K-Cup single-serve coffee pods, Keurig has agreed to pay $10 million.

Buyers requested approval of the settlement agreement and an extension of the class definition to include all consumers nationwide from a federal court in California, led by plaintiffs Kathleen Smith and Mathew Downing.

According to a motion for settlement approval, the beverage brewing business will also change the packaging labels for the single-serve coffee pods to let customers know that they could not be recyclable in their region.

The buyers added that as part of the settlement, Keurig would have to publish the revised disclaimer in a font size that is noticeably larger than the one on the packaging at present in order for customers to see and comprehend it.

According to the buyers, Keurig has also agreed to modify its website to tell visitors that K-Cup pods are not widely recyclable.

According to the motion, Ocean Conservancy will receive 75% of any settlement payments that go unclaimed, and Consumer Reports will receive 25% of the remainder. There would be no money left over to give to Keurig.

The buyers stated, “There is a clear correlation between the Ocean Conservancy’s purpose and the facts that give rise to the urgent action, as this case concerns plastic pollution in part due to the labeling of plastic products as recyclable but are not actually recycled.

Keurig Pods Have Been Made More Recyclable

According to the motion, Keurig has previously made steps to make its coffee pods more recyclable by changing their caps to make them easier to peel off.

According to Smith’s 2018 class action lawsuit, Keurig’s K-Cup coffee pods were too small to be recycled in most municipal recycling operations, resulting in them frequently ending up in landfills.

When Keurig tried to have the complaint dismissed, it was unsuccessful. Keurig claimed that a reasonable customer would not have been misleading and would have understood that K-Cup pods could not be recycled everywhere.

To settle various charges that it had established a monopoly in the market for single-serve coffee pods, Keurig agreed to pay $31 million in 2020.

In that instance, customers said that Keurig had stifled competition in order to maintain market dominance, allowing the business to charge higher prices.

Have you ever used a single-serve K-Cup coffee pod for a Keurig? Comment below and let us know!

Howard Hirsch, Ryan Berghoff, and Gideon Kracov of Lexington Law Group and the Law Offices of Gideon Kracov are the plaintiff’s attorneys.

Smith v. Keurig Green Mountain Inc., Case No. 4:18-cv-06690, is the name of the Keurig K-Cup Recyclable Class Action Lawsuit in the U.S. District Court for the Northern District of California.

Doug Collins

Doug Collins

Doug has spent more than 10 years in the stock, financial, and commodity markets and is a financial journalist for several publications. He also worked as a reporter on the Chicago and New York commodity futures trading floors. He has reported on every U.S. futures market at least once as a journalist.Doug covers business, finance, breaking news for Lawyers.buzz. He graduated from Iowa State University, Ames, Iowa where he studied economics and journalism. [email protected]

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