Parents Sue Procter & Gamble (PG) Over Kids’ Crest Toothpaste, Claim Packaging Misleads Consumers

The Procter & Gamble Company (NYSE:PG) is one of the best dividend stocks to buy. A Reuters report dated November 3 disclosed a court ruling that Procter & Gamble must respond to claims regarding Kids’ Crest packaging, which misleads parents about how much toothpaste kids should use.

On October 31, Jorge Alonso, the American district judge, ruled that parents could attempt to demonstrate that Procter & Gamble was in breach of state laws and misled consumers through packaging depicting a full toothpaste strip and an American Dental Association (ADA) endorsement.Parents Sue Procter & Gamble (PG) Over Kids’ Crest Toothpaste, Claim Packaging Misleads Consumers

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Procter & Gamble sought dismissal of the lawsuit, pointing out that federal law preempts the plaintiffs’ allegations and that its labeling provides clear dosage instructions. The lawsuit is part of a series of cases filed in January against companies, including Colgate-Palmolive, accused of marketing products with eye-catching, candy-inspired designs.

Attorney Michael Connett, who represents the parents in the case against P&G, noted that four lawsuits are still pending, which is a promising development. Connett said the companies may finally have to answer for their actions.

In a separate update on October 16, The Procter & Gamble Company (NYSE:PG) announced a new share and incentive plan, in addition to the reelection of all nominees for the position of board directors. Shareholders have approved the company’s 2025 Stock and Incentive Compensation Plan, enabling P&G to issue up to 175 million shares for equity-based awards, including stock options and performance units. Remaining shares from the 2019 plan can also be considered under the latest program. Meanwhile, shareholders decided that all director nominees will serve one-year terms, with voting results indicating that each earned at least 1.6 billion affirmative votes.

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