business news in context, analysis with attitude

Reuters reports that Walmart has been hit with a federal lawsuit accusing it of misleading shoppers “by selling organic eggs laid by hens raised in enclosed structures under package labels that said the birds had access to the outdoors.

According to the story, “Wal-Mart sells cartons of eggs to shoppers at a premium under its Organic Marketside brand with labels saying the eggs came from hens with ‘outdoor access,’ according to the lawsuit filed by a customer. However, the birds are raised by Cal-Maine Foods Inc inside enclosed structures that have screens to let in air, the complaint said.”

Walmart said it has not seen the lawsuit, but is taking it seriously; spokesman Randy Hargrove said, “We hold our suppliers to high standards and are committed to providing our customers the quality products they expect.”
KC's View: