Bigelow Tea Settlement Offers California Buyers Cash Over “Manufactured in the USA” Labels

A federal court in Los Angeles has preliminarily approved a settlement that would pay California shoppers who bought certain Bigelow teas labeled “Manufactured in the USA 100% American Family Owned.” Claims are now open on the official site, TeaClassAction.com, and must be filed by Feb. 8, 2027.

The case is Banks v. R.C. Bigelow, Inc., No. 2:20-cv-06208, in the U.S. District Court for the Central District of California. It is the same lawsuit this site has followed from the 2020 filing through class certification and a $2.36 million jury verdict in April 2025. Classaction.org reported the settlement terms on Nov. 13, 2026, after the court granted preliminary approval on Oct. 5.

What the jury already found

On April 8, 2025, a jury found that R.C. Bigelow, Inc. violated California’s Consumers Legal Remedies Act, breached an express warranty and made a false representation, and awarded $2,360,744 to the plaintiffs and the class. The court later entered judgment, and Bigelow appealed.

The official settlement FAQ says the parties agreed to settle after that appeal, and that Bigelow continues to deny the allegations. The class judgment amount used in the deal is $2,548,187 — the jury award plus $187,443 in two years of post-judgment interest. If the court grants final approval and any appeals are finished, payments are expected about 45 days later. The final approval hearing is set for May 17, 2027, at 1:30 p.m. Pacific time.

The underlying accusation has been consistent since 2020: the teas were sold with a USA manufacture claim even though, the plaintiffs said, they were made from tea grown and processed outside the United States. Mixing a place-of-manufacture claim with “100% American Family Owned” on the same line of packaging is exactly the kind of label that can leave a shopper thinking the leaves, not just the company, came from here.

Who can claim, and how much

The settlement class covers people who bought an 18- or 20-count box of any of these teas, carrying that USA manufacture label, at a retail store in California from Oct. 17, 2017, to July 31, 2023: Earl Grey Black Tea Caffeine, Green Tea Caffeine, Constant Comment Black Tea Caffeine, Green Lemon Tea Caffeine, Vanilla Chai Black Tea Caffeine, English Tea Time Black Tea Caffeine, Spiced Chai Black Tea Caffeine, French Vanilla Black Tea Caffeine, or Vanilla Caramel Black Tea Caffeine.

According to the official FAQ, a timely, valid claim with proof of purchase can pay up to $20, and a claim without proof can pay up to $10, depending on how many eligible boxes were bought. Proof means a receipt, paid invoice or similar record of a California retail purchase in the class period. People at the same mailing address share one household cap. If valid claims add up to more than the $2,548,187 class judgment amount, payments shrink proportionally. If they add up to less, payments can rise, up to $20 without proof and $40 with proof.

Classaction.org described the overall deal as worth up to $6.5 million. That larger figure is not the consumer pot. The official FAQ says class counsel may ask the court, “separate and apart” from the class judgment amount, for $2,746,451 in attorneys’ fees and $653,756 in expenses, $25,000 service awards for each of the two plaintiffs, and up to $501,605.90 in settlement administration costs. Those requests still need court approval. Unclaimed money, if any, would go to Feeding America or the Consumer Federation of California, subject to the court’s final approval.

Deadlines

Claims must be submitted online or postmarked by Feb. 8, 2027. Requests to be excluded from the class, and objections, are due Jan. 7, 2027. Doing nothing means no payment and a release of the settled claims. The official notice and claim form are on TeaClassAction.com.

A preliminary approval is not a final judgment, and Bigelow has not admitted liability. What is already on the record is the April 2025 verdict and the label that led to it. For anyone selling food or household goods with a USA origin line, the practical lesson is the same one this case has been teaching for six years: “Manufactured in the USA” has to describe the product, not just the company that put its name on the box.

FAQ

Who is in the class?

People who bought an 18- or 20-count box of nine listed Bigelow teas, labeled “Manufactured in the USA 100% American Family Owned,” at a retail store in California from Oct. 17, 2017, to July 31, 2023.

What can class members receive?

The official settlement site says valid claims with proof of purchase can pay up to $20, and claims without proof can pay up to $10, depending on the number of eligible boxes. If total claims exceed or fall short of the $2,548,187 class judgment amount, payments are adjusted proportionally, with higher caps if money is left over.

Does the settlement mean Bigelow admitted the labels were false?

No. The official FAQ says Bigelow continues to deny the allegations and settled to avoid the cost and uncertainty of more litigation. A jury had already found a violation and awarded damages in April 2025.