Coca-Cola lawsuit alleges deception in marketing practices

Coca-Cola (KO) and the American Beverage Association trade group were sued for allegedly misleading the public about health problems posed by sugary drinks.

The Praxis Project, an advocacy organization, filed a legal complaint that the world’s largest soft-drink maker and the trade association run ads that tout the energy boost from drinking soda, and disregard scientific findings that sugary beverages can lead to obesity, diabetes and heart problems. 

“We are tired of trying to counter the deep pocket advertising that misleads our communities regarding the dangers of regularly consuming sugary drinks” said Praxis Project’s executive director, Xavier Morales.“The price our community pays through decreased health, increased diabetes and amputations is too high.” 

The organization is joined by the Center for Science in the Public Interest in the legal action. 

Both Coke and the American Beverage Association described the lawsuit, filed in a California federal court, as unfounded. They told Reuters that they are working to lower the public’s sugar consumption. 

  • Larry Light

    Larry Light is a veteran financial editor and reporter who has worked for the Wall Street Journal, Forbes, Business Week, Money, AdviceIQ and Newsday.