Starbucks faces legal battle over calling its coffee '100% ethical'

In a federal court filing in Washington, D.C., Starbucks, the world’s largest coffee company, is under legal scrutiny for alleged misleading marketing that claims its coffee is 100 percent ethical. The lawsuit, filed on behalf of American consumers, accuses Starbucks of knowingly sourcing tea and coffee from suppliers with documented human rights and labor abuses, spanning multiple continents. The legal action, initiated by the National Consumers League, challenges Starbucks’ commitment to ethical sourcing, stating that the company’s marketing contradicts the reality of severe abuses in its supply chain, particularly in countries such as Kenya, Guatemala, and Brazil. Starbucks, a major purchaser of Guatemalan arabica beans, has denied the allegations, emphasising its dedication to defending against the claims of misrepresentation. The company’s spokesperson stated, “We are aware of the lawsuit and plan to aggressively defend against the asserted claims that Starbucks has misrepresented its ethical sourcing commitments to customers.” The National Consumers League CEO, Sally Greenberg, highlighted the contradiction between Starbucks’ branding and the alleged human rights abuses across its supply chain. She noted that investigative reports and government findings over the last decade have exposed abuses in coffee and tea farms supplying Starbucks, ranging from Brazil to Guatemala and Kenya. Starbucks officials responded to the lawsuit by asserting their engagement with farms to ensure adherence to ethical standards. The company emphasized its commitment to regular reverification of supply chains and collaboration with business partners to meet global human rights standards outlined in its statement. This legal action is not the first time Starbucks has faced allegations regarding its farming partners. In 2020, reports claimed child labor on farms supplying Starbucks, prompting an investigation by the company. Starbucks pledged zero tolerance for child labor and temporarily ceased purchasing from implicated farms. Amid these ethical concerns, Starbucks has faced additional controversies, including a trademark infringement threat against the Starbucks Workers United union. Pro-Palestine supporters responded with protests and calls for a boycott after the union’s tweet expressing solidarity with Palestine. Starbucks also experienced a historic work stoppage with thousands of employees striking on the company’s busiest day, marking a significant event in its five-decade history.