Lawsuit Filed Against Bumbu Rum Seeks Over $5M for Misleading Labeling

(Photo: EKATERINA BOLOVTSOVA/Pexels)
A class action lawsuit was proposed against Bumbu Rum Company, LLC on March 18 by Lamarr Golston. The complaint argued that Bumbu Rum Co.’s use of the phrase “Original Craft Rum” misleads consumers. The plaintiff is seeking a jury trial to determine monetary, statutory and/or punitive damages and interest that should be awarded. The proposed lawsuit points to low ABV and additional flavorings as reasons to why Bumbu should not be labeled as rum and is seeking at least $5 million for the misrepresentation.
Bumbu Rum Company, which is owned by Sovereign Brands LLC, has three core products: Bumbu “The Original,” Bumbu Creme and Bumbu XO. In addition to this lineup, the brand has two special releases in collaboration with rapper Lil Wayne, Tha Carter V “The Original” and Funeral XO Rum.
As part of Golston’s arguments, it is pointed out that Bumbu does not fit the federal definition for rum in the US, because it is bottled at less than 40% ABV. He further argued Bumbu doesn’t qualify as rum because additional ingredients are added including flavorings. As a result, Golston said Bumbu is closer to a cordial or liqueur.
Additionally, the plaintiff highlights that although the product is self-described as a “Distilled spirits specialty product” and the front label states, “Rum With Natural Flavors,” the more prominent labeling contradicts this and focuses on “rum” and phrases such as “premium rum” and “Original Craft Rum.”
The complaint also quotes Foursquare master distiller and blender, Richard Seale. The quote reads, “the rum category is flooded with doctored rums and added sugars and added sherry masquerading as premium rum.”
The complaint argues, “As a result of the false and misleading representations, the Product is sold at a premium price, approximately no less than $35 per 750 mL, excluding tax and sales.”
The lawsuit argued that the value of Bumbu is “materially less than its value as represented” and the product is sold at a price that is higher than similar products that are “absent the misleading representations and omissions.”
The case was filed in New York but appears to cover Arkansas, Kansas, Montana, Nebraska, North Dakota, Oklahoma and Utah. The proposed class action is meant to be applicable to individuals who purchased Bumbu Rum during the statute of limitations period.
If the lawsuit is successful it could set a precedent for rum labeling in the US. Moving forward, this could provide new guidelines as to what is or isn’t categorized as rum. Unlike whiskey, which has at least 30 different legally defined types, rum is not well subcategorized in the US and is offered little protection based on regionality or other factors.
Although, it will most likely be a while longer before we know if this case will make any waves. In 2021, Diageo-owned Ron Zacapa faced a class action lawsuit for misrepresentation of age statements, the outcome of which appears to still be pending. These types of cases can be dragged out for several years if a settlement cannot be reached. However, a judge first has to decide if this proposed class action against Bumbu will even move forward.
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