Get 40% Off
👀 👁 🧿 All eyes on Biogen, up +4,56% after posting earnings. Our AI picked it in March 2024.
Which stocks will surge next?
Unlock AI-picked Stocks

Abbott Labs must face lawsuit over PediaSure height claims

Published 02/02/2024, 06:22 PM
Updated 02/03/2024, 12:25 PM
© Reuters. FILE PHOTO: Abbott Laboratories logo is displayed on a screen at the New York Stock Exchange (NYSE) in New York City, U.S., October 18, 2021.  REUTERS/Brendan McDermid/File Photo

By Jonathan Stempel

NEW YORK (Reuters) -A judge has rejected Abbott Laboratories (NYSE:ABT)' effort to dismiss a New York City grandmother's lawsuit claiming it misled consumers into believing its PediaSure Grow & Gain nutrition drinks were "clinically proven" to help children grow taller.

U.S. District Judge Paul Engelmayer in Manhattan said on Friday that Joanne Noriega's complaint set forth "strong, evidence-backed reasons" to doubt Abbott's claim that clinical studies supported its marketing claims.

Noriega cited three studies funded by Abbott itself that found no connection between PediaSure and growth in height.

"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.

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

Noriega, from Bronx, New York, said she had bought PediaSure Grow & Gain vanilla and strawberry drinks for her 8-year-old grandson, who was "short for his age," believing they would help him get taller. She said that after a year of drinking two PediaSure drinks per day, her grandson was still short but had become "so overweight" that she stopped buying the drinks.

James Denlea, a lawyer for Noriega, said in an interview he was pleased with the decision, which lets his client gather more evidence through the discovery process.

Abbott had access to studies that "completely debunked any notion that its milkshake could help children grow," Denlea said. "The marketing was misleading, and Abbott knew that to be the case."

3rd party Ad. Not an offer or recommendation by Investing.com. See disclosure here or remove ads .

The lawsuit seeks unspecified damages for New Yorkers who were deceived into buying or overpaying for PediaSure.

Abbott has said PediaSure is intended for children ages 2 to 13, and helps them "grow out of at-risk weight-for-height percentiles (5th-25th percentiles)" within eight weeks.

PediaSure is part of the Abbott Park, Illinois-based company's pediatric nutritional segment, which also includes Pedialyte and Similac.

The case is Noriega v Abbott Laboratories, U.S. District Court, Southern District of New York, No. 23-04014.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.