Golda ice cream chain faces NIS 350 million lawsuit over falsely labeled sugar-free options
The court concluded that sufficient grounds existed to allege financial damage, with the amount to be determined at a later date following further proceedings.
A class action lawsuit seeking NIS 350 million against the Golda ice cream chain was approved by the Central District Court on Sunday. The complaint alleges that several sugar-free ice cream options offered by the company actually contained sugar, as shown by laboratory tests. One plaintiff, Sol Yarkoni, purchased what she believed to be sugar-free ice cream from a Golda location in Ramat Gan and later experienced symptoms consistent with consuming sugar.
Yarkoni, who was on a low-carb diet, had the ice cream tested and discovered it contained 6.6 grams of sugar per 100 grams, which is over thirteen times the permitted amount for a sugar-free product. Golda argued that the labels were not misleading because dairy products naturally contain lactose or natural milk sugar. However, the court rejected this argument, citing the Prinir precedent which allows for cases where there is a "total failure of consideration" when product characteristics significantly differ from consumer expectations.
The court noted that most of Golda's products are not sugar-free, reinforcing the significance of the label. The lawsuit's financial damage amount will be determined in subsequent proceedings.
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