Handi-foil Aluminum Bakeware Falsely Advertised as ‘Made in the USA,’ Class Action Alleges

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A proposed class action lawsuit claims that the disposable aluminum foil pans and bakeware containers manufactured by Handi-foil are not “Made in the USA” as advertised.

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The 24-page lawsuit contends that Handi-foil has reaped unearned profits from its aluminum bakeware by marketing the products as entirely American-made—from sourcing to sale—when the items are, in fact, made of “virtually all foreign-derived material.”

According to the complaint, the manufacture of Handi-foil’s products involves bauxite, a sedimentary rock from which a powder-like substance called alumina is extracted. Once extracted, alumina is refined and melted into aluminum roll coils, which are then unrolled, pressed and molded into various bakeware shapes, the filing says.

Because bauxite is not available at commercial scale in the United States, manufacturers, including Handi-foil, may source their aluminum coils from suppliers like Gränges Americas, Inc. and Novelis Corporation, which rely on foreign bauxite, the suit says.

“Thus, even if final assembly of the Products takes place in the United States, Defendant fails to disclose that not all or virtually all raw materials and components of the products are made and sourced in the United States,” the filing states.

The complaint explains that the Federal Trade Commission (FTC) has established guidelines governing “Made in the USA” labeling in response to consumer demand for transparency in advertising. Specifically, the FTC prohibits unqualified Made in the USA claims unless all or virtually all of a product’s ingredients or components are sourced and manufactured domestically. Per the suit, FTC rules allow for a de minimis, or negligible, amount of foreign content in products labeled with an unqualified Made in the USA claim.

The lawsuit alleges that Handi-foil continues to falsely market its aluminum bakeware as “Made in the USA” and obscure the true origin of its products from consumers, in violation of the New York General Business Law.

The case claims that Handi-foil’s representations, which appear as American flags and “Made in USA” statements on packaging, allow the defendant to charge a price premium over those of competitors due to consumer preference for American-made goods.

To illustrate the price premium, the case compares a ten-pack of Avantix aluminum pans to comparable Handi-foil pans sold side by side at ShopRite. According to the filing, the Avantix pans retail for $5.99 (about 60 cents per pan), while Handi-foil’s pans sell for $8.99 (about 89 cents per pan).

The suit claims that Handi-foil is able to charge approximately 29 cents more per pan for a similar product because the pan is marketed as made in the United States, whereas Avantix products are labeled as made in Korea.

The Handi-foil class action lawsuit looks to represent all consumers who purchased any Handi-foil disposable aluminum foil pans and containers in New York for personal, family or household use during the applicable statute of limitations period.

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