The Coffee Bean Hit with Class Action Lawsuit Over ‘Discriminatory’ Surcharge for Non-Dairy Milk Alternatives

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Several lactose-intolerant and milk-allergic consumers allege in a proposed class action lawsuit that The Coffee Bean & Tea Leaf has discriminatorily charged extra for non-dairy alternatives, such as oat milk or almond milk.

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The 19-page non-dairy surcharge lawsuit says that the plaintiffs were charged at least an extra $0.80 by The Coffee Bean, one of the largest coffee chains nationwide, to substitute oat milk or almond milk in place of regular milk, even though it is medically necessary for the individuals to avoid consuming drinks that contain milk. 

The case argues that there is no material difference between the price of lactose-containing milks and the price of non-dairy alternatives that would justify The Coffee Bean levying the “excessive” substitution surcharge. Further, the suit points out that the coffee and tea chain regularly modifies beverage offerings to, say, remove caffeine at no additional cost for those with conditions that require them to steer clear of the stimulant.

“Defendant discriminates against Plaintiffs and the putative class members by levying a Surcharge for its Non-Dairy Alternatives in the form of Non-Dairy Alternatives added to its coffee-based drinks and other beverages,” the suit alleges, emphasizing that lactose intolerance and milk allergies are disabilities.

According to the case, the non-dairy alternative surcharge can comprise up to 17 percent of the average drink price at The Coffee Bean. The lawsuit contends that the surcharges are not meant to defray the costs of using non-dairy alternatives as drink ingredients, but instead for The Coffee Bean to profit from consumers with lactose intolerance and milk allergies.

The filing relays that various studies have shown that at least 12 percent of the population in the United States is lactose intolerant, and more than 15 million people have a milk or dairy allergy.

“Upon information and belief, The Coffee Bean has earned at least $100 million dollars [sic] in the United States as a result of its discriminatory and illegal levying of the Surcharge during the class period,” the class action lawsuit alleges.

The suit looks to cover all persons nationwide who suffer from lactose intolerance, an intolerance to milk or milk-containing products, or milk allergies and bought drinks or other items from The Coffee Bean within the last four years.

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