Transnational Foods, Inc (“TFI”) is a food product brand that sells three canned octopus products under the brand name “Pampa”: (1) Octopus in Garlic Sauce, (2) Octopus in Vegetable Oil, and (3) Octopus in Marinara Sauce (collectively the “Octopus Products”).
Cerqueira is a large seafood supplier and cannery that supplies various seafood products to United States based brands. At all times relevant, and during the relevant class period, it supplied and supplies all of the Octopus Products to TFI. It also sells similar products to other United States brands including but not limited to Roland Foods, Iberia, and Vigo Importing Co., and Conchita Foods, Inc. (all octopus sold in the United States which were and are supplied by Cerqueira shall be referred to as the “Cerqueira Cross-Brand Octopus Products”).
TFI has labeled and sold its Octopus Products as octopus (or pulpo). Independent DNA testing, however, has determined that TFI’s Octopus Products (supplied by Cerqueira) are actually jumbo squid and not octopus; squid is significantly cheaper and of a lower quality than octopus. The word “Octopus” or “Pulpo” is prominently displayed on the label of each box in a large font as shown below. Nowhere on the box does it state that the Octopus Products contain squid instead of octopus. Additional testing has revealed that this bait and switch is occurring throughout the Cerqueira Cross-Brand Octopus Products.
Plaintiff is informed and believes that TFI and Cerqueira have intentionally replaced the octopus in its Octopus Products with squid as a cheap substitute to save money because they knew an ordinary consumer would have trouble distinguishing the difference. In fact, in 2011, CERQUEIRA was sanctioned by a local government in Spain for this bait and switch, and CERQUEIRA committed to stopping the offending conduct.