Costco Beats False Ad Suit Claiming Prawns Slave-Harvested

Law360, Los Angeles (January 26, 2017, 7:01 PM EST) -- A California judge Tuesday tossed a proposed class action claiming Costco knowingly sold shrimp farmed in Southeast Asia using slave labor while misleadingly touting its anti-human rights abuses policy, saying the plaintiffs failed to show they relied on that policy before purchasing the prawns.

Plaintiffs Monica Sud and her mother, Cecilia Jacobo, alleged in their operative complaint that the supply chain for Costco Wholesale Corp.’s farmed prawns — specifically the fish used to create fishmeal for the prawns — depends on slavery, human trafficking, and other labor abuses. The farmed prawns that Costco sells come from Southeast Asian countries including Thailand,...

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