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Costco Faces a Lawsuit Over Beloved $4.99 Rotisserie Chicken

Costco members are roasting the iconic rotisserie chicken at the warehouse. On January 22nd, reports found that Costco faces a lawsuit over its iconic rotisserie chicken, which only costs $4.99. The class action lawsuit accuses the wholesale retailer of falsely advertising that the chicken contains “no preservatives.”

Filed in the U.S. District Court for the Southern District of California, the complaint, which was obtained by USA Today, accuses Costco’s Kirkland Signature Seasoned Rotisserie Chicken of containing two added preservatives, sodium phosphate and carrageenan.

Costco Rotisserie Chicken Google Commons
Google Commons

According to the complaint filed on Thursday, Costco “has systemically cheated customers out of tens — if not hundreds — of millions of dollars by falsely advertising its Kirkland Signature Seasoned Rotisserie Chicken as containing ‘no preservatives.'”

The lawsuit was brought by two women in California and accuses the retailer of violating multiple consumer protection laws. According to the class, Costco allegedly misled customers nationwide about the ingredients, while discreetly listing two added preservatives in fine print in the ingredient list. Costco has removed the signage, according to USA Today.

“To maintain consistency among the labeling on our rotisserie chickens and the signs in our warehouse/on-line presentations, we have removed statements concerning preservatives from the signs and on-line presentations,” the company said. “We use carrageenan and sodium phosphate to support moisture retention, texture, and product consistency during cooking. Both ingredients are approved by food safety authorities.”

Sodium phosphate is often used in processed meats to retain moisture and to improve texture, and is permitted by federal food regulators. However, research has found that high intake of phosphate additives may pose health risks for those with kidney disease.

As for carrageenan, it’s also approved, but it’s a common health debate. Studies have found that carrageenan is linked to inflammation and digestive issues, while others believe that, when ingested within reason, there are no health concerns.

Kirkland Signature Chicken Google Commons
Google Commons

By marketing the chicken as a healthy option, the company is being accused of capitalizing on growing consumer demand for “clean label” and inducing millions of shoppers to purchase the product that they would have otherwise avoided.

With the price tag consistently falling just under $5, Costco’s rotisserie chicken has been a fan-favorite for years. However, with this recent lawsuit, it’s clear that many might not be able to rely on Costco’s nutritional information, and it’s vital that customers read the description and ingredient list carefully.