Federal, Calif. 'Slack-Fill' Laws Ensure Fill Of Litigation

Law360, New York (November 18, 2015, 11:11 AM EST) -- Imagine that a manufacturer creates an innovative nutritional supplement that is double the concentration of that created by its competitors, and thus delivers the same benefit using half the product volume. How should it package the new product? If it places its product in a smaller container than its competitors, the smaller container may provide consumers with the incorrect impression that they are receiving less benefit or value for their dollar, thus under-selling the product's benefits and leaving consumers with an incorrect perception of value. Accordingly, the manufacturer might in good faith decide to use comparably sized packaging, albeit half-filled, in order to convey to consumers that its product provides just as much nutritional benefit as its competitors' product. Unfortunately, despite its best intentions, if the manufacturer chose the second option it may also have exposed itself to costly litigation, recalls, forced package redesign, and even civil and criminal penalties, for alleged violation of rules prohibiting undisclosed "nonfunctional slack-fill."...

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