Class Action: Whole Foods' random-weight woes not over

A federal appeals court is allowing a class action lawsuit against Austin, Texas-based Whole Foods Market Inc. over mislabeled prepackaged foods.

In December, Whole Foods paid a $500,000 fine to New York City after the city’s Department of Consumer Affairs said it mislabeled weights for every sample it tested — 80 prepackaged foods total.  Overcharges ranged from 80 cents to $14.84.

Examples of the overcharges, which DCA Commissioner Julie Menin said inspectors called “The worst case of mislabeling they have ever seen in their careers,” included:

• DCA inspected eight packages of vegetable platters, which were priced at $20/package. Consumers who purchased these packages would have been, on average, overcharged by $2.50—a profit of $20 for the eight packages. One package was overpriced by $6.15.
• DCA inspected four packages of berries, which were priced at $8.58/package. Consumers who purchased these packages would have been, on average, overcharged by $1.15—a profit of $4.60 for the four packages. One package was overpriced by $1.84.

Whole Foods agreed to pay a $500,000 settlement to the city, but an individual who filed suit in July 2015 after the city revealed the results of its investigation was denied the right to sue Whole Foods because he could not prove that he bought mislabeled foods.

The 2^nd U.S. Circuit Court of Appeals in Manhattan overruled that decision on Friday, saying the case can go forward. Circuit Judge Raymond Lohier wrote that Whole Foods had “systematically and routinely” mislabeled and overpriced items, and that “it is plausible that John (the plaintiff) overpaid for at least one product.”

Lohier did say John had “significant evidentiary obstacles,” according to a Reuters report.