The Red Bull Class Action

Tom Scott

CA Executive Director, National Federation of Independent Business


The Red Bull class action lawsuit is complete bull****. Sorry, I figured that was the easiest way to get your attention.

In case you have not heard about it, the Austria-based drink giant settled a class action lawsuit for false advertising a couple of weeks ago for $13 million. As part of the settlement, consumers who bought the drink between January 1, 2002 and October 3, 2014 are eligible to receive $10 cash or $15 worth of Red Bull products.

So at some point in 2015 you will receive your payment. The suit argued that customers were misled by claims about the benefits of drinking Red Bull, with a specific focus on statements such as “Red Bull gives you wings.” Red Bull said it settled the suit to “avoid the cost and distraction of litigation” but denied it did any wrong doing.

What is also so entertaining is that tucked deep in the settlement notice is how much the class counsel will get. Take a guess. $4.7 million. And because they are so generous they are recommending that the three class members get an “incentive award” of $5,000.

It is amazing that these garbage lawsuits keep happening. The class action train keeps on rolling and it is a total shakedown by trial lawyers. Just the other day I received a coupon for $10 at Lamps Plus. Apparently, when I was shopping there they asked for my zip code. The horror. So I get the coupon and the lawyers in that case are getting $580,000.

The class action scam needs to come to an end. Federal reform has done nothing. California legislators need to stop this abuse of our legal system. Companies need to focus on hiring people, not being the victims of shakedown lawsuits over garbage claims by a bunch of parasitic lawyers.

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