Consumer News

Red Bull Will Pay Premium for Premium Claims

Energy drink company to pay $13 million in customer refunds to settle class-action lawsuit.

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Consumer News

Red Bull Will Pay Premium for Premium Claims

Red Bull has consented to cough up some $13 million in customer refunds to settle a class-action lawsuit over false advertising.

The energy drink company has agreed to offer a $10 cash reimbursement or $15 in Red Bull products to any consumer in the U.S. who bought a Red Bull product since Jan. 1, 2002. While denying all wrongdoing, Red Bull will also potentially have to pay nearly $5 million in plaintiff attorney fees. And that’s in addition to the $13 million.

The complaint centered around the allegation “that the functional benefits of consuming Red Bull are not superior to the benefits from ingesting an equivalent amount of alternate sources of caffeine, and that consumers have been misled by Red Bull advertising to believe the drink is a superior source of energy beyond caffeine,” the settlement states.

Red Bull said in a statement emailed to TINA.org that it settled “to avoid the cost and distraction of litigation. However, Red Bull maintains that its marketing and labeling have always been truthful and accurate, and denies any and all wrongdoing or liability.”

To receive a cash refund or $15 in products, a consumer will need to submit a valid claim form. No receipts necessary.

For more of our coverage on energy drinks, click here.

This story was updated on 8/5/2014.

 


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