Splenda Suit Points Up Dangers Of Ad Claim Cases

The recent number of lawsuits against artificial sweetener Splenda highlights the increasing risk companies face from competitors choosing to take them to court over comparative or misleading ad claims.

Industry insiders argue that such risk, combined with growing government scrutiny in the food and drug categories, has prompted some companies to curtail their marketing efforts when no law forces them to do so. Witness Kraft’s recent decision not to market some of its products to kids, and Bristol-Myers Squibb’s failure to advertise any new drug for a year.

Doug Wood, an advertising attorney with Reed Smith, New York, said that in the past, companies charged with a misleading or comparative ad complaint might have had to change or pull the ad, and that would be the end of it.

But things have changed.