Abbott Faces Lawsuit As Grandmother Questions PediaSure's Height Growth Claims

Zinger Key Points
  • U.S. judge denies Abbott's dismissal in a lawsuit alleging misleading height growth claims related to PediaSure nutrition drinks.
  • New York grandmother cites studies disputing Abbott's assertions, claiming PediaSure failed to promote her grandson's height.

A judge denied Abbott LaboratoriesABT attempt to dismiss a lawsuit by a New York City grandmother regarding the efficacy of its PediaSure Grow & Gain nutrition drinks. 

The woman has alleged that the company misled consumers about the efficacy of its PediaSure Grow & Gain nutrition drinks by falsely claiming that they were “clinically proven” to boost children’s height, Reuters reported.

On Friday, U.S. District Judge Paul Engelmayer stated that Joanne Noriega’s complaint presented compelling, evidence-backed reasons to question Abbott’s assertion of clinical studies supporting their marketing claims regarding PediaSure Grow & Gain nutrition drinks.

Also Read: Abbott Laboratories Surpasses Q4 Sales Expectations, Despite Dip In COVID-19 Testing Demand

In the Bronx, Noriega reportedly purchased PediaSure Grow & Gain drinks, hoping they’d aid her grandson’s height.

Despite a year of regular consumption, he didn’t grow any taller and, instead, gained excessive weight, prompting her to stop buying, she said.

Noriega further referenced three studies funded by Abbott that concluded that there was no correlation between PediaSure and an increase in height, the report read.

“The existence of studies contradicting the label’s claim reinforce the plausibility of the complaint’s allegation that the label would mislead a reasonable consumer,” Engelmayer wrote, according to Reuters.

Also See: Here’s How Much You Would Have Made Owning Abbott Laboratories Stock In The Last 10 Years

“This case is without merit,” Abbott told Reuters in a statement on Saturday, adding that PediaSure is a “scientifically designed nutrition solution for children to help support growth and development.”

The legal action aims for unspecified damages on behalf of deceived New Yorkers who purchased or overpaid for PediaSure.

Read Next: Donald Trump Decries ‘Totally Discredited’ Case Amid Prosecutor’s Admission Of Romantic Ties With Atlanta D.A. Fani Willis

Price Action: ABT shares closed lower by 2.08% to $112.11 on Friday. Shares gained 0.21% to $112.35 afterhours.

This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.

Photo: Shutterstock

Market News and Data brought to you by Benzinga APIs
Comments
Loading...
Posted In:
Benzinga simplifies the market for smarter investing

Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.

Join Now: Free!