The splashy false-advertising lawsuit filed against corn refiners by the sugar industry was settled out of court under confidential terms. The settlement was announced with the trial under way in federal court in Los Angeles. Sugar processors asked for $1.1 billion in damages when they filed suit in 2011, saying the Corn Refiners Association falsely said in an ad campaign that high fructose corn syrup was “corn sugar” and “natural.” The corn refiners filed a counter-suit for $350 million, saying a sugar industry group wrongly said in a newsletter that corn syrup causes obesity and cancer.
“The case came amid an overall decline in sweetener demand, particularly of corn syrup,” said Reuters. “The U.S. slowdown is due in part to concerns about high rates of obesity and diabetes.”
Overall, Americans consumed an average of 131.1 pounds of sweeteners in 2014, down from 153.2 pounds in 1999, with the corn sweetener share of the market falling by 29 percent while per-capita sugar consumption rose by 3 percent. The end result is that sugar is the more widely consumed sweetener, a reversal from 1999.
The FDA ruled in 2012 that corn syrup could not be called sugar. The agency opened a public comment period on Nov. 12 on whether and how it should define “natural” when it comes to food because of citizen petitions and court requests for guidance. At present, the FDA regards “natural” as meaning nothing artificial or synthetic has been added to a food that would not be expected in it. The agency’s policy does not consider food production or processing methods.
“It’s unclear what prompted the settlement; its terms were not released,” the Los Angeles Times reported, adding that the groups issued a joint statement:
“The parties jointly announce today that they have reached a settlement of a lawsuit pending in U.S. District Court for the Central District of California. The details of the settlement agreement are confidential. The Parties continue their commitments to practices that encourage safe and healthful use of their products, including moderation in the consumption of table sugar, high fructose corn syrup and other sweeteners.”