The California Chamber of Commerce has identified a new job killer bill that mandates state-only labeling requirements for sugar-sweetened drinks. SB 300 (Monning; D-Carmel) establishes the Sugar-Sweetened Beverages Health Warning Act, which would prohibit a person from distributing, selling, or offering for sale a sugar-sweetened beverage in a sealed beverage container, or a multipack of sugar-sweetened beverages, in California unless the beverage container or multipack bears a health warning. CalChamber has identified this as a job killer because this warning may lead to unfair competition violations and ultimately class action suits. Warning Label SB 300 requires this warning be placed on certain beverages: “STATE OF CALIFORNIA SAFETY WARNING: Drinking beverages with added sugar(s) contributes to obesity, type 2 diabetes, and tooth decay.” The bill is very specific about the size of type, placement of warning and characters per linear inch on each product according to the amount of beverage contained. Vending machines, self-serve dispensers and sit down restaurants all must provide the warning. CalChamber’s analysis finds that this bill exposes manufacturers and retailers of sweetened beverages to significant liability. Consumers would be able to sue for a violation of this new labeling requirement under California’s Unfair Competition Law. So not [...]
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