Court Grants Preliminary Approval of Settlement in “All Natural” Corn Starch Case

Teufel v. Karlin Foods Corp., No. 1:14-cv-23100 (S.D. Fla.): The Court granted motion for preliminary settlement approval in putative class action alleging that Defendant advertises its Great Value Corn Starch as "All Natural," and sells it at a premium, when in fact it contains unnatural, synthetic, artificial, and/or genetically modified cornstarch. The terms of the settlement are as follows: Defendant agreed to stop labeling the product as "All Natural," to pay up to $515,000 to members of the settlement class ($1.00 per purchase, capped at $2.00 without proof of purchase and $8.00 with proof of purchase, per member) but no more than $825,000 for payments to settlement class and administrative expenses combined. Defendant also agreed to pay no more than $160,000 in fees and expenses and a $5,000 service award to the named Plaintiff. Order.