Story perspectives

Costco Faces Class-Action Lawsuit Over Misleading Chicken Label

2/3/2026

Summary

Story summary

A class-action lawsuit was filed January 22 in California accusing Costco Wholesale Corporation (Costco) of false advertising.
The suit alleges the chicken labeled "no preservatives" contains sodium phosphate and carrageenan.
Plaintiffs say they would not have bought it if they knew about these additives.
Costco removed the "no preservatives" claim, stating the ingredients address quality, not preservation.
The lawsuit seeks damages and restitution for misled consumers and labeling-law violations.

History

Historical Context

The California Consumer Privacy Act, enacted in 2016, emerged from increasing consumer awareness and legal actions against misleading advertising, such as the 2016 lawsuit against Costco for mislabeling chicken products. This reflects a broader trend in consumer protection, emphasizing the need for transparency in food labeling and prompting potential regulatory changes in corporate practices across the United States.

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Story summary

A class-action lawsuit was filed January 22 in California accusing Costco Wholesale Corporation (Costco) of false advertising.
The suit alleges the chicken labeled "no preservatives" contains sodium phosphate and carrageenan.
Plaintiffs say they would not have bought it if they knew about these additives.
Costco removed the "no preservatives" claim, stating the ingredients address quality, not preservation.
The lawsuit seeks damages and restitution for misled consumers and labeling-law violations.

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