Costco Moves to Dismiss Lawsuit Over Kirkland Signature Chicken Labeling
Costco is pushing back against a proposed class action lawsuit that accuses the wholesale giant of falsely advertising its popular Kirkland Signature Seasoned Rotisserie Chicken as preservative-free. The retailer has filed a motion to dismiss the case, calling the claims “wholly flawed” and arguing that reasonable consumers could not have been deceived by the product’s labeling.
The Allegations
The lawsuit, filed on January 22 in a California court by plaintiffs Bianca Johnston and Anastasia Chernov, alleged that the rotisserie chicken contains two additional preservatives: sodium phosphate and carrageenan. According to the complaint, these ingredients help preserve texture and shelf stability, meaning they “perform a preservative function” in the product.
The plaintiffs further accused Costco of engaging in “unfair business dealings and practices” by allegedly tricking customers into paying a premium for the chicken based on its “no preservatives” claim.
Costco’s Defense
In its motion to dismiss, Costco challenged the notion that customers were paying a markup for the product. The retailer pointed out that the price of its fried chicken — $4.99 in the United States — remained unchanged even after the “No Preservatives” label was removed. The motion noted that the complaint failed to identify a single competitor offering a whole rotisserie chicken for less than $4.99.
In a June 4 memorandum supporting the motion, Costco argued that the sources cited by the plaintiffs did not list sodium phosphate and carrageenan as preservatives. The company maintained that these ingredients “act as seasonings” and are used to support moisture retention, texture, and product consistency during cooking.
“Both ingredients are approved by food safety authorities,” Costco said in a statement to People in January.
What Happens Next
The court will now consider Costco’s motion to dismiss. If the lawsuit proceeds, it could have broader implications for how food retailers label and market products with ingredients that serve multiple functions, including preservation. For now, Costco stands firm in its position that the claims are without merit and that its labeling practices are transparent and lawful.
