How to Reduce Your Risk of a Class Action Lawsuit

Class action lawsuits following government action are like the “bless you" that follow sneezes.

First, New York Attorney General Eric Schneiderman sent subpoenas to four major retailers for selling store-brand herbal supplement products that didn’t pass DNA barcoding tests, and then lawsuits by consumers against the retailers starting stacking up.

First, federal health regulators issued a warning that DMAA in USPlabs’s Jack3d could cause heart attacks, then a class action lawsuit was filed against USPlabs and GNC, the store where the product was sold.

But class action lawsuits don’t just follow government action. After Bill Ackman announced his crusade against Herbalife, the multi-level marketer faced a class action suit regarding its distribution model.

The list could go on.

“Though no company can be completely immune from the threat of class action lawsuits, there are steps to take to help protect your company and avoid being an easy target," said Rend Al-Mondhiry, regulatory counsel, Council for Responsible Nutrition (CRN). Al-Mondhiry noted class action lawsuits against dietary supplement companies have been increasing, and “it doesn’t look as though this trend will subside anytime soon," she added.

To help supplement brand navigate the growing number of class action lawsuits, CRN partnered with Informa Exhibitions—publisher of Natural Products INSIDER—to host the webinar “Class Action Lawsuits: Understanding the Current Landscape to Reduce Your Risk" on June 9 from 2 to 4 p.m. Eastern.

Top legal experts will discuss best advertising, labeling and marketing practices in the current climate to help companies avoid becoming targets of litigation, and offer advice on what companies need to know if they are sued. The attorneys will provide an overview of the current class action lawsuit landscape complete with discussion of recent cases and valuable takeaways to inform strategy. In addition, the panel will explain business practices that companies should implement to reduce their risk of becoming a defendant in a class action lawsuit.

The webinar presenters include: Elizabeth M. Chiarello, partner, Sidley Austin LLP; Ron Y.  Rothstein, partner, Winston & Strawn LLP; and John E. Villafranco, partner, Kelley Drye & Warren LLP. Al-Mondhiry will moderate the webinar.

Sign up for the webinar on the INSIDER site, and in the meantime, check out an article Chiarello wrote with her Sidley Austin colleagues “Litigation Trends Affecting Supplement Companies and What to Do About Them."