Post to Pay $15 Million Over Cereal Sugar

March 5, 2021
Post Holdings has agreed to a $15 million settlement of a class-action lawsuit in which it was accused of falsely marketing sugar-laden breakfast cereals as “healthy.”

Post Holdings has agreed to a $15 million settlement of a class-action lawsuit in which it was accused of falsely marketing sugar-laden breakfast cereals as “healthy.”

The settlement was tentatively approved Feb. 24 by a federal judge in California. Under its terms, Post will set up a $15 million fund to compensate consumers who bought Raisin Bran, Honeycomb, Honey Bunches of Oats, or Waffle Crisps cereal. In addition, Post agrees to refrain from using marketing terms like “natural,” “wholesome” or “less processed” on RTE cereal that has 10% or more added sugar.

The law firm that brought the action, Jackson Lewis P.C., has brought similar lawsuits against General Mills and Kellogg. The General Mills case was dismissed last year, while the Kellogg case is still pending.

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