Israeli Court Certifies Class Action Lawsuit Against Golda Ice Cream Chain

The Central District Court in Lod has certified a class action lawsuit against the Golda ice cream chain, accusing the company of misleading customers regarding its 'sugar-free' products. The lawsuit seeks hundreds of millions of shekels in damages. According to the claim, Golda marketed coffee and hazelnut flavours as 'sugar-free' for several years, despite the products containing 6.6 grams of sugar per 100 grams. Under regulations, the threshold for a 'sugar-free' label is 0.5 grams per 100 grams, meaning the products allegedly contained 13 times the permitted amount. Golda argued in its defence that a reasonable consumer would interpret 'sugar-free' to mean 'no added sugar.' However, Judge Iris Rabinovich-Baron rejected this, questioning why the company did not use the phrase 'no added sugar' on its signage if that was the intended meaning. The judge stated that the claim of consumer reliance on the label must be examined, noting that the sugar content is a critical factor for customers, particularly those with diabetes or specific dietary requirements. The plaintiffs' lawyers estimate that if the claims are proven, damages could reach approximately 350 million shekels (roughly $117 million). The class includes all individuals who purchased products labelled 'sugar-free' from Golda, its sister company Anita, or their online stores. Golda, which operates over 100 branches across Israel, has reportedly temporarily removed the two disputed flavours from its shops. Lead attorney Uri Eldar told Channel 12 that the court's decision sends a clear message to the food industry that companies must be held accountable for the explicit meaning of their labels. The court also ordered Golda to pay 40,000 shekels (approximately $13,300) plus VAT in legal costs.

