On June 20, the Washington D.C. Superior Court dismissed Corporate Accountability Lab’s (CAL) consumer protection suit against The Rainforest Alliance, Inc. (Rainforest Alliance), an eco-social certifier, for lack of personal jurisdiction. In the same order, the judge refused to grant The Hershey Company’s (Hershey) motion to dismiss the case against them as co-defendants. This post discusses the mixed decision and the significance of the dismissal of claims against Rainforest Alliance.
The West African cocoa industry, where two-thirds of the world’s cocoa is grown, is notorious for its human rights abuses. From hazardous child labor to child trafficking to the poverty wages that farmers earn, little of the cocoa supply chain in West Africa is “fair” or “sustainable.” Yet over the past decade, certification schemes – such as Rainforest Alliance, Fairtrade International, and Fairtrade USA – and so-called sustainability programs – like Mondelez’s Cocoa Life, Nestlé’s Cocoa Plan, Mars’ Cocoa for Generations, and Hershey’s Cocoa For Good – have proliferated.
These days, if you go into a grocery store, there are numerous labels on food products touting how ethical and sustainable the product is. Yet these certification labels often misrepresent the labor and environmental standards used to produce these products. Certification schemes, such as Fairtrade International, were initially developed to provide workers – often farm workers in rural areas – with increased income, better working conditions, and a steady stream of buyers. Moreover, they signaled to consumers that the products were produced sustainably, without exploiting workers, children, or the environment.