What Led to Dannon’s $21 Million Settlement Over Yogurt?

Dannon is perhaps one of the best-known yogurt manufacturers in the US today.  However, the company was recently forced to pay $21 million for a settlement over claims that they overstated the health benefits of one of their products.

The product in question is Dannon Activia, a yogurt supposedly designed to help regulate the digestive system and ease digestive problems.  The claims also include Dannon DanActive dairy drink.

Dannon marketed both of these products with questionable implications.  Both commercials and product packaging led consumers to believe that they would be able to regulate their digestive system with only a single serving of the product, when the reality is that three servings per day are reccomended by doctors to achieve this goal.  In addition, Dannon agreed that they would not market their product as a treatment for colds or the flu.

Dannon settled with both the FDA and 39 states’ attorneys general.  This was actually the largest settlement ever made between a food producer and attorneys general over consumer protection.

In addition to paying out an enormous sum of money, Dannon agreed to change their product packaging and their marketing materials to reflect the fact that it requires three servings per day for consumers to enjoy more control over their digestive system.

This case does not mean that the products do not work, simply that they do not work in the way that the company implied in their marketing.  Dannon products are entirely safe to eat and will still be available in stores around the nation for consumers to purchase.