Suit Over Diamond's Walnut Health Claims Survives

Law360, New York (September 7, 2010, 4:02 PM EDT) -- A federal judge has refused to throw out a proposed class action alleging Diamond Foods Inc. misleadingly promotes its walnuts as capable of promoting heart health, finding that the plaintiff's claims are neither expressly nor impliedly preempted by federal law.

Judge Jeffrey S. White of the U.S. District Court for the Northern District of California on Friday denied Diamond's motion to dismiss, rejecting the company's argument that the suit is preempted by the Nutrition Labeling and Education Act, or NLEA.

Judge White ruled that “claims premised...
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