Costco Sued Over $4.99 Rotisserie Chicken Label Claims
Costco's famous rotisserie chickens might land the company in hot water.
A class-action lawsuit filed Thursday in federal court in San Diego claims the warehouse retailer is lying about its $4.99 Kirkland Signature Seasoned Rotisserie Chicken having "no preservatives."
Turns out the chicken contains sodium phosphate and carrageenan—both additives that work as preservatives, according to the lawsuit. In-store signage and Costco's website both make the "no preservatives" claim, which the plaintiffs say is bogus.
Who's Mad About It
Two California residents, Anastasia Chernov from Escondido and Bianca Johnston from Big Bear filed the lawsuit. They say they wouldn't have bought the chickens if they'd known about the additives.
"Consumers reasonably rely on clear, prominent claims like 'No Preservatives,' especially when deciding what they and their families will eat," their attorney Wesley M. Griffith said. "Costco's own ingredient list contradicts its marketing. That's unlawful, and it's unfair."
The lawsuit claims Costco has "systemically cheated customers out of tens—if not hundreds—of millions of dollars." They want injunctive relief, restitution, damages, and "disgorgement of profits obtained through Costco's misleading marketing."
Costco hasn't said anything about the lawsuit yet.
The Chicken Everyone Loves
Costco's rotisserie chicken is a big deal. The company famously holds prices down on fan favorites like the $1.50 hot dog combo, and the chicken stays at $4.99 even though Costco reportedly loses millions on them every year. It's a loss leader that gets people in the door, and members buy them by the truckload.
The label says "no added hormones or steroids," but this lawsuit is focused on what else is in there.
What's Actually Inside
Sodium phosphate and carrageenan get added to inhibit spoilage, stabilize proteins, and extend shelf life, according to the lawsuit.
Sodium phosphate is a combination of sodium and phosphate that the FDA says is safe to eat. It shows up naturally in lots of foods and gets added to deli meat, processed meat, canned tuna, baked goods, and fast food all the time.
Too much sodium phosphate can cause problems for people with kidney disease, intestinal issues, colitis, heart failure, or allergies to it. But for most people, it's fine in normal amounts.
The FDA defines "chemical preservative" as any chemical that prevents or slows food deterioration, not including common salt, sugars, vinegars, spices, or wood smoke. Preservatives are allowed if they're generally recognized as safe, aren't used to hide damage or make food look better than it is, and get properly labeled.
Why This Matters Now
This lawsuit comes at a time when Americans are paying way more attention to what's in their food. Health Secretary Robert F. Kennedy Jr. has been beating the drum against ultra-processed foods—factory-made stuff loaded with refined ingredients, additives, and barely any whole foods.
In January, new U.S. Dietary Guidelines came out recommending more protein, fewer grains, less sugar, and fewer ultra-processed foods.
"As secretary of Health and Human Services, my message is clear: eat real food," Kennedy said, calling it the "most significant reset of federal nutrition policy in history."
So, here's Costco, famous for that cheap rotisserie chicken that people love, getting sued because the "no preservatives" claim might not hold up. The chicken has additives that work as preservatives, even if they're FDA-approved and safe for most people.
Whether the lawsuit goes anywhere is anyone's guess, but it's shining a light on what's actually in those chickens that millions of people throw in their carts every week.
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