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Lawsuit over Duracell batteries guarantee is thrown out

Published 03/16/2016, 11:04 AM
Updated 03/16/2016, 11:10 AM
© Reuters. Used Duracell batteries are seen in an office in Kiev
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By Jonathan Stempel

(Reuters) - A federal judge threw out a lawsuit accusing Procter & Gamble Co (N:PG) of misleading consumers by guaranteeing that Duracell batteries would not fail for 10 years, when in fact the batteries might leak when used or stored normally.

In a decision late Tuesday night, U.S. District Judge Lucy Koh in San Jose, California, rejected claims in the proposed class-action lawsuit that P&G and its Gillette unit defrauded consumers in ads and packaging for Coppertop batteries containing "Duralock Power Preserve" technology.

Koh said reasonable consumers would understand that P&G's representation that the batteries were "guaranteed for 10 years in storage" was a warranty to repair, replace or refund batteries that failed within that timeframe, and not a promise that the batteries "have no potential to leak."

She also said in her 33-page decision that the complaint did not identify any cause, including any design or manufacturing defect, as to why the batteries might leak.

Warren Buffett's Berkshire Hathaway Inc (N:BRKa) bought the Duracell business from Cincinnati-based P&G on Feb. 29.

Six law firms filed the lawsuit on behalf of the plaintiff Renee Punian of San Jose, who said she would not have paid a "premium price" for the batteries had she known they might leak.

Lawyers for Punian could not immediately be reached for comment on Wednesday. P&G had no immediate comment.

© Reuters. Used Duracell batteries are seen in an office in Kiev

The case is Punian v Gillette Co et al, U.S. District Court, Northern District of California, No. 14-05028.

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