It’s not often that ordinary citizens can go up against big corporations.
But we have a unique opportunity in one energy drink company.
In order to settle two class action lawsuits, Red Bull has agreed to pay consumers $13 million. But after the claims surpass that cap, consumers’ rewards would be diluted in order to not exceed the allotted amount.
If you’ve bought a Red Bull product in the past 12 years, you’re entitled to $10 cash or $15 in Red Bull products.
There’s no need for proof of purchase — you just have to send in a form.
The lawsuits allege that consumers were misled by slogans that say Red Bull “gives you wings” and would increase concentration and performance.
Red Bull denies it did anything wrong but settled to avoid further hassle.
If you thought Red Bull would turn you into an athlete or a focused academic, or if you were knocking cans back before hot dates, you’re taking things too literally.
Companies advertise by touting products through their best potential results.
They’re trying to stick out from the crowd so they use catchy slogans, attractive models and buzzwords.
Prudence is needed to survive in the free market, and an expectation that companies are highlighting the best cases helps.
However, it’s very easy for companies with large amounts of money to say whatever they want.
They can pay for great ads and lots of airtime. They can sponsor large events and run huge promotions. They can hire lobbyists to make sure the government knows how important energy drinks are to the American economy and keep regulations lax.
Corporations may have the same speaking rights as ordinary people, but they have much more scope and influence.
It’s a rare occurrence that individuals can affect the way corporations do business.
Protests and changing laws are long, costly and difficult to do. The best way to get a corporation’s attention is through its wallet.
With this settlement, maybe there’s a chance Red Bull will listen. Maybe if enough people submit forms and claim money, they’ll realize they can’t say whatever they want.
Maybe other companies will see that the American people aren’t so easily duped with puffery and big promises.
We want products that are reliable, that work, or that taste good and are healthy.
If a company’s product is like that, then companies don’t need to spend millions on this kind of advertising. Telling us the semi-truth about what their products can do.
Of course, maybe Red Bull really has done nothing wrong. Maybe all of this will just promote Red Bull even more.
That’s a risk you run when you give your attention to any business. But not taking action will certainly get nothing done.
And hey, with no proof of purchase necessary, what’s the harm in getting $10 for free?
sckroll@indiana.edu
