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New Jersey bakery faces business litigation for being too sweet

Butterfly Bakery, Inc. based in New Jersey has garnered federal attention for being too sweet. The company has become embroiled in business litigation over the fact that they are using sugar in items that are labeled sugar free. The U.S. Food and Drug Administration, or FDA, took the company to court in an effort to get them to comply with labeling guidelines.

The FDA was granted a permanent injunction, forcing the company to stop operating until it changes either changes its labels or its recipes. According to the FDA, it and state agencies have tested Butterfly Bakery's products over the years and have found they were not correctly labeled. Items such as blueberry muffins that were labeled sugar free ended up containing up to three times the amount of sugar and about twice the amount of fat indicated on the label.

The company has responded by saying that out of its 45 products, only three were found to be in violation of the FDA labeling guidelines. The company says those three products are no longer being manufactured. The company further states that it is working with the FDA to make sure they are in compliance through improved processes.

As with other businesses in New Jersey, the bakery is subject to both state and federal oversight. When these agencies believe they have found the company to be in violation of guidelines, the company often finds itself involved in costly business litigation. One way to try to avoid this happening would be to continually review the company's processes and procedures to be sure they are in compliance with all state and federal regulations. This may seem like a time consuming and even costly process, but it could save much more in the long run.

Source: Los Angeles Times, "New Jersey bakery accused of stuffing sugar in 'sugar-free' goods," Tiffany Hsu, March 15, 2013

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