Red Bull Chooses $13 Million Settlement; Compensates Customers For False Advertising
Every term, the appellate lawyers and U.S. Court of Appeals or the federal circuit court will review more than 10,000 cases. While some surprising and unlikely cases go up for appeal — sometimes the opposite does happen. In some cases seemingly lending themselves to a long, drawn-out legal battle and one or more appeals (if applicable), the accused hardly defends him or herself or the company in question at all. When and why does this happen?
Of Course, Red Bull Doesn’t Give You Wings
Just recently, Red Bull famously settled a lawsuit for $13 million. Customers rallied against the company’s trademark slogan “Red Bull Gives You Wings” as well as some of the implications that it can increase mental alertness and physical abilities. Red Bull was also accused of misrepresenting the amount of caffeine the product had. Instead of fighting accusations of misrepresentation and false advertising, Red Bull chose a $13 million settlement. The company is issuing free Red Bull or a $10 refund to its loyal customers (although there is no proof of purchase necessary). Red Bull customers can fill out a form online to receive their part of the legal proceeds.
Are These Lawsuits Getting Out Of Hand?
The Red Bull lawsuit raises a few reasonable questions like: Did anyone honestly expect the energy drink to give them wings? With appeals courts composed of as many as 13 judicial circuits, did Red Bull expect courts to uphold the ruling (even if they were found guilty of false advertising in the first place)? The most likely reason Red Bull opted for a settlement was to avoid the hassle and expense of more court dates and countless appointments with appellate lawyers, appeal law firms, or federal appeals attorneys. Of course, Red Bull is a multi-billion dollar company. For most companies and individuals, top appeal attorneys are well worth it.
It’s true; some multi-billion dollar companies can afford a lawsuit here and there (think Facebook). Still, for the average American accused of a crime or a small business contending with legal troubles, a strong defense and strong appellate lawyers (if applicable) are a sound investment.
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