October 19, 2007 - Hormel Foods Corp. has sued Campbell Soup Co. over its recently launched new line of chunky soups. Hormel, which makes Dinty Moore stews, has sued Campbell Soup in federal court in Minneapolis, claiming unfair competition and false advertising.
Campbell has said that the new "Chunky Fully Loaded" soups promise "extreme amounts of meat" taking soup "to the next level."
Hormel has said in its lawsuit that Campbell's "Chunky Fully Loaded Beef Stew" is labeled as a soup, but the term is placed in the lower right hand corner of the label and the positioning the word 'soup' low on the label, beyond the curve of the can as the product sits on the shelf.
Hormel has said that the Department of Agriculture has standards that determine what products can be labeled as 'stew' and the Campbell Soup product does not meet this standard.
The lawsuit has asked a judge to stop Campbell from using its current labeling and advertising for its "Chunky Fully Loaded" soups.
Hormel also wants a jury trial and seeks compensatory damages.
Shares of Hormel rose 29 cents to close at $37.18.