Kellogg's Agrees to Pay $4 Million to Settle Suit Over False Ad Claim

Frosted Mini-Wheats had claimed it improved kids' brain functions

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To the tune of $4 million, Kellogg's agreed to settle a class-action lawsuit that alleged the cereal maker falsely advertised Frosted Mini-Wheats. Both sides agreed to the settlement without the court deciding if Kellogg's was right or wrong.

In ads that ran about four years ago, Kellogg's marketed Frosted Mini-Wheats as being able to improve children's attentiveness, memory and other cognitive functions by 20 percent. Following a 2009 false advertising case brought against Kellogg's by the Federal Trade Commission, the brand changed its marketing message.

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