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Starbucks sued over misleading "sugar-free" claims on some beverages, facing legal and reputational risks.

Market News
06 Oct 2026
24/7 Wall Street
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Bearish
Starbucks sued over misleading "sugar-free" claims on some beverages, facing legal and reputational risks.

Starbucks is facing a lawsuit alleging it wrongly labels some beverages as "sugar-free," violating federal rules that prohibit this term if a drink contains more than 0.5 grams of sugar per 12-ounce serving. The suit highlights that lactose content makes the "sugar-free" claim inaccurate. Starbucks denies the allegations, calling them without merit and stands by its menu labeling. This legal challenge adds to existing negative publicity from union wage disputes and follows a recent stock sell-off despite positive earnings and same-store sales growth. Investors remain cautious about the company’s turnaround prospects amid these controversies.

Following the lawsuit over its "sugar-free" claims, Starbucks shares show resilience on Pluang, trading at USD 95.28 with a 0.90% gain as of Oct 06, 2026 21:43 WIB. The stock remains well below its 52-week high of USD 108.55 but above the low of USD 78.46, with a market cap of $107.65 billion. Investor sentiment on Pluang leans positive, with 87% of order activity on the buy side and a dividend yield of 2.63%.

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