Kachuck Enterprises v. Mission Produce, Inc.

Four owners and operators of avocado farms in southern California filed a greenwashing action in the federal district court for the Central District of California against companies that import Mexican avocados. The plaintiffs alleged that the defendants represented to consumers that their imported avocados were sustainably and responsibly sourced when in fact they are sourced from Mexican orchards “where the local environment is being decimated by uncontrolled deforestation, severe water shortages, soil degradation, and biodiversity and habitat loss driven by U.S. demand for sustainably sourced avocados.” The complaint contained allegations that the defendants’ sourcing of avocados from orchards on deforested land contributes to climate change by “disruptive the natural carbon cycle of native forests.” The plaintiffs alleged that defendants’ sustainability representations were misleading to consumers, with consumer confusion “often compounded at the point of sale, as many retailers do not distinguish or separate California-grown avocados from Mexican-grown avocados.” The plaintiffs asserted that the defendants violated California’s False Advertising Law and Unfair Competition Law and also asserted an unjust enrichment claim. The relief sought by the plaintiffs included orders requiring the defendants to remove references to “sustainable” and/or “responsible” source practices and to inform consumers that their sourcing practices are not environmentally sustainable or responsible. The plaintiffs also sought restitution and disgorgement of monies received as a result of unlawful, unfair, or fraudulent practices; monetary and statutory damages; and reasonable costs and expenses of suit, including attorney fees.