A consumer advocacy group, the National Consumers League, has recently filed a lawsuit against Starbucks, claiming that the company's assertion of ethically sourced coffee is false and misleading. The group cited various media reports documenting abuses on farms that supply coffee and tea to Starbucks, which have raised doubts about the company's packaging that states their commitment to '100% ethical coffee sourcing.'
Starbucks, in response to the lawsuit, made a statement on Wednesday, acknowledging its awareness of the legal action and vowing to vigorously defend against the claims made. The lawsuit was filed in Superior Court in the District of Columbia.
One of the incidents mentioned in the lawsuit occurred in 2022, where Brazilian police rescued 17 workers, including three teenagers, from a coffee farm. These workers had allegedly been subjected to outdoor labor without protective equipment, being forced to lift heavy 130-pound sacks of coffee. The case had been covered by Repórter Brasil, a group of journalists known for investigating workers' rights and environmental issues. Starbucks, however, claimed to have no knowledge of this particular case and emphasized that they take such allegations seriously, actively engaging with farms to ensure compliance with their standards.
The lawsuit also references a 2023 BBC report that exposed rampant sexual abuse and harsh working conditions on the James Finlay tea plantation in Kenya. At the time, James Finlay was a supplier for Starbucks, but the coffee giant stated that it no longer purchases tea from that plantation.
Starbucks, which is responsible for approximately 3% of the world's coffee consumption, claims to work with over 400,000 farmers in more than 30 countries. The company developed ethical sourcing guidelines in 2004 and relies on third-party verifications to assess conditions at its suppliers. Starbucks maintains a zero-tolerance policy towards child labor and stipulates that farmers should provide a safe, fair, and humane working environment.
However, the National Consumers League argues that Starbucks misleads consumers by not disclosing that its certification program does not guarantee ethical sourcing. The group is seeking court intervention to halt Starbucks' alleged deceptive advertising practices and to require the company to launch a corrective ad campaign.
The National Consumers League stated in their court filing, 'Starbucks' failure to adopt meaningful reforms to its coffee and tea sourcing practices in the face of these critiques and documented labor abuses on its source farms is wholly inconsistent with a reasonable consumer's understanding of what it means to be 'committed to 100% ethical' sourcing.'
It remains to be seen how the lawsuit will unfold and what actions will be taken to address the allegations made against Starbucks. In the meantime, the case serves as a reminder of the ongoing importance of ethical sourcing in the coffee and tea industry. Consumers, more than ever, are increasingly vigilant about the origins of the products they purchase and deserve transparency and accountability from the companies they support.