Ireland, Canada & USA: Diageo settles long-running action over Guinness brew origin
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Diageo has settled a long-running US class action over the marketing of a Guinness product in the US after consumers complained it looked like it was made in Dublin, despite being brewed in Canada, Independent.ie reported on April 10.
The class action between lead plaintiff Kieran O’Hara and Diageo started in 2015 and was recently resolved following mediation.
In his court complaint from 2015, O’Hara alleged the outer packaging of Guinness Extra Stout sold in stores at the time could lead consumers to believe it was brewed in the St James’ Gate brewery in Dublin.
The complaint said Guinness Extra Stout was brewed in New Brunswick, Canada, with the location noted in small print on the side of the bottles.
He said he bought the product at a “premium price” because he thought it was from Dublin, claiming he and other consumers had been damaged.
The Salem News said around $770,000 (€706,000) was set aside to reimburse customers. The rest will go to the lawyers, $1.3m in legal fees and costs.
Diageo did not admit liability or wrongdoing.
“We are pleased both sides could come together to resolve this matter,” said a Diageo spokesperson.
Lawyer Kevin McCullough, who represented O’Hara and others in the class action, told US media that the two sides sat down with a mediator and worked out the settlement.
McCullough said at least 23,000 people submitted claims before the deadline last year.
