Full Breakdown
Costco Faces Class-Action Lawsuit Over Rotisserie Chicken Labeling
2/3/2026, 8:16:03 PM
Allegations of Misleading Advertising
A proposed class-action lawsuit filed on January 22, 2026, in the U.S. District Court for the Southern District of California accuses Costco of misleading consumers by labeling its Kirkland Signature Seasoned Rotisserie Chicken as containing "no preservatives." The lawsuit claims that the chicken contains sodium phosphate and carrageenan, both of which serve as preservatives by enhancing moisture retention and texture. The plaintiffs, Bianca Johnston and Anastasia Chernov, assert that they would not have purchased the chicken or would have paid less had they known about these ingredients.
Background of the Lawsuit
The lawsuit highlights that Costco's marketing prominently features claims of "no preservatives," which the plaintiffs argue contradicts the ingredient list. The complaint includes photographic evidence of in-store signage and online advertisements that support these claims. The plaintiffs seek certification for two classes: one for all U.S. customers who purchased the chicken and a sub-class for California residents. They demand restitution and damages, alleging that Costco has "systematically cheated customers out of tens — if not hundreds — of millions of dollars."
Costco's Response
In response to the lawsuit, Costco has removed references to "no preservatives" from its signage and online descriptions to ensure consistency in its labeling. The company maintains that sodium phosphate and carrageenan are used for quality and consistency rather than preservation and that both ingredients are approved by food safety authorities. Costco's statement emphasizes that these additives are common in various food products and are considered safe for consumption.
Consumer Perspectives and Health Implications
The plaintiffs express a preference for preservative-free foods and argue that clear labeling is essential for consumer trust. Wesley M. Griffith, the attorney representing the plaintiffs, stated, “Consumers reasonably rely on clear, prominent claims like ‘no preservatives,’ especially when deciding what they and their families will eat.” Health experts note that while sodium phosphate and carrageenan are generally recognized as safe, there are ongoing debates regarding their health implications, particularly concerning ultra-processed foods.
Broader Implications for Food Labeling
This lawsuit comes amid a growing scrutiny of food labeling practices, particularly in California, which has seen increased regulation of food additives. The controversy surrounding Costco's rotisserie chicken may prompt consumers to be more vigilant about ingredient labels and could lead to heightened scrutiny of similar claims in the food industry.
Conflicting Reports & Gaps
While Costco has acknowledged the use of sodium phosphate and carrageenan, the classification of these ingredients as preservatives is debated. The Food and Drug Administration (FDA) does not universally categorize them as traditional preservatives, which complicates the legal arguments surrounding the lawsuit. The plaintiffs argue that the marketing language misleads consumers, while Costco maintains compliance with food safety regulations.
Verbatim Quotes
- “Consumers reasonably rely on clear, prominent claims like ‘no preservatives,’ especially when deciding what they and their families will eat,” — Wesley M. Griffith, Attorney
- “To maintain consistency among the labeling on our rotisserie chickens and the signs in our warehouses/online presentations, we have removed statements concerning preservatives from the signs and online presentations,” — Costco Statement
This lawsuit underscores the tension between marketing practices and consumer expectations in the food industry, particularly regarding transparency and ingredient safety. As the case unfolds, it may influence consumer behavior and regulatory scrutiny of food labeling practices.
