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The legendary $4.99 rotisserie chickens from Costco are under fire this week as a proposed class action lawsuit claims the big box retailer has been misleading customers. Two California shoppers noticed something that might seem obvious in retrospect: To sell an entire, slow-roasted chicken in a plastic bag, Costco added two preservatives. Problem is, the Issaquah, Washington-based company had promised on the packaging, in-store displays, and online that the chicken contained no preservatives. The lawsuit filed last week with the Southern District claims that Costcos promise that its rotisserie chickens contain no preservatives signals to reasonable consumerslike the two women who are plaintiffs in the casethat nothing was added to preserve the taste, flavor, texture, or shelflife of the product. But two preservativessodium phosphate and carrageenanare listed on the ingredient list. Costco Wholesale Corporation has systemically cheated customers out of tensif not hundredsof millions of dollars by falsely advertising its Kirkland Signature Seasoned Rotisserie Chicken as containing no preservatives, the lawsuit reads, in part. Consumers reasonably rely on clear, prominent claims like No Preservatives, especially when deciding what they and their families will eat, Wesley M. Griffith, the California managing partner with Almeida Law Group, which represents the plaintiffs in this lawsuit, said in a statement. Costcos own ingredient list contradicts its marketing. Thats unlawful, and its unfair. INGREDIENTS IN FOCUS Costco has already taken steps to address the main concern of the lawsuit. To maintain consistency among the labeling on our rotisserie chickens and the signs in our warehouses/online presentations, we have removed statements concerning preservatives, a company representative said in a statement to KTLA 5 News. We use carrageenan and sodium phosphate to support moisture retention, texture, and product consistency during cooking. Both ingredients are approved by food safety authorities. These ingredients have landed other big companies in hot water in the past: In late 2024, a judge ruled that Kraft Heinz must face a proposed nationwide class action lawsuit that similarly focused on the companys use of sodium phosphate in its macaroni and cheese products. And the addition of carrageenan in products labeled as natural or organic has been the subject of several lawsuits in recent years. Whats more, Costco has faced criticism of its use of carrageenan in the past. The Cornucopia Institute, an organic food watchdog group, sent a letter to Costco in 2023 urging it to remove carrageenan from organic products. And the ingredient is one of many targeted by Health and Human Services Secretary Robert F. Kennedy Jr. SUIT SEEKS MONETARY DAMAGES In the latest lawsuit filed against Costco, the plaintiffs are seeking unspecified monetary damages, and if a judge approves a class action lawsuit, that might mean the retailer has to pay out anyone else who bought the chicken during a specified time period. Interestingly, the plaintiffs said they might have still opted to purchase the rotisserie chicken had they known about the two ingredients, but would have paid significantly less for it. It might be hard for some people to imagine paying even less, as Costcos rotisserie chicken is considered a loss leader, meaning the company realizes very little or no profit selling it. Costco shares fell nearly 1% in mid-day trading on Thursday, extending a selloff of more than 3% in the past week.
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E-Commerce
Tax filing season is underway, and the IRS expects 164 million people will file returns by April 15. The average refund last year was $3,167. This year, analysts have projected it could be $1,000 higher, thanks to changes in tax law. More than 165 million individual income tax returns were processed last year, with 94% submitted electronically. People with straightforward returns should not encounter delays, but because of an exodus of IRS workers since the start of the Trump administration, the national taxpayer advocate has cautioned that the 2026 tax filing season is likely to present challenges for those who run into problems filing. While last year IRS employees were not permitted to accept a buyout offer from the Trump administration until after the taxpayer filing deadline, many of those customer service workers have now left. The IRS started 2025 with about 102,000 employees and finished with roughly 74,000 after a series of firings and layoffs led by the Department of Government Efficiency. Heres what to know: When refunds will go out If you file electronically, the IRS says it should take 21 days or less to receive your refund. If you choose direct deposit, it should take even less time. If you file a paper return, the refund could take four weeks or more, and if your return requires amendments or corrections, it could take longer. The IRS cautions that taxpayers not rely on receiving a refund by a certain date, especially when making major purchases or paying bills. How to check the status of your refund Taxpayers can use the online tool Wheres My Refund? to check the status of their refund within 24 hours of e-filing and generally within four weeks of filing a paper return. The Wheres My Refund? tool will also provide projected deposit dates for most early EITC/ACTC refund filers by Feb. 21, according to the IRS. Information related to this tool is updated once daily, overnight. To access the status of your refund, youll need: Your Social Security or individual taxpayer ID number (ITIN) Taxpayers can also consult the IRS2Go app, or their IRS Individual Online Account, to check their refund status. How tax refunds work If you paid more through the year than you owe in tax, due to withholding or other reasons, you should get money back. Even if you didnt pay excess tax, you may still get a refund if you qualify for a refundable credit, like the Earned Income Tax Credit (EITC) or Child Tax Credit. To get your refund, you must file a return, and you have three years to claim a tax refund. Who qualifies for the Earned Income Tax Credit To qualify for the EITC, you must have under $11,950 in investment income and earn less than a specific income level from working. If youre single with no children, your income level must be $19,104 or below. And if youre married filing jointly with three or more children, you must make $68,675 or below. To determine if your household qualifies based on your marital status and your number of dependents you can use the online EITC Assistant tool. Who qualifies for the Child Tax Credit and Additional Child Tax Credit If you have a child, you are most likely eligible for the Child Tax Credit. The credit is up to $2,200 per qualifying child. To qualify, a child must: Have a Social Security number Be under age 17 at the end of 2025 Be your son, daughter, stepchild, eligible foster child, brother, sister, stepbrother, stepsister, half-brother, half-sister, or a descendant of one of these (for example, a grandchild, niece or nephew) Not provide more than half of his or her own support for the tax year Have lived with you for more than half the tax year Be claimed as a dependent on your tax return Not file a joint return for the year (or filed the joint return only to claim a refund of taxes withheld or estimated taxes) Be a U.S. citizen, U.S. national or a U.S. resident alien You qualify for the full amount of the Child Tax Credit for each qualifying child if you meet all eligibility factors and your annual income is not more than $200,000 ($400,000 if filing a joint return). You qualify for the Additional Child Tax Credit if ($1,700 per qualifying child) if you meet these factors and have little or no federal income tax liability. You must have earned income of at least $2,500 to be eligible for the ACTC. When the tax credits will become available The IRS expects most refunds for the Earned Income Tax Credit, the Child Tax Credit and the Additional Child Tax Credit to be available in bank accounts or on debit cards by March 2 for taxpayers who choose direct deposit. Some taxpayers may receive their refund earlier, depending on their financial institution. Whats different this year This year, most taxpayers must provide their routing and account numbers to receive refunds directly deposited into their bank accounts. That’s because the IRS began phasing out paper tax refund checks on Sept. 30 in accordance with an executive order. ___ The Associated Press receives support from the Charles Schwab Foundation for educational and explanatory reporting to improve financial literacy. The independent foundation is separate from Charles Schwab and Co. Inc. The AP is solely responsible for its journalism. Cora Lewis, Associated Press
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E-Commerce
Virginia-based Gerber Products Company is voluntarily recalling limited batches of Gerber Arrowroot Biscuits, a cookie-like snack meant for children 10 months or older. On January 26, the baby food and snack producer issued the voluntary recall due to the potential presence of soft plastic and paper pieces that “should not be consumed,” the company said this week. The material comes from a supplier of arrowroot flour that initiated its own recall, Gerber said. The company said it was no longer working with the supplier, though it did not name the supplier in its recall notice on Monday. No illnesses or injuries have been reported. Gerber says it is issuing the recall “out of an abundance of caution.” On Wednesday, the Food and Drug Administration (FDA) published the recall notice on its website. What products are included in the recall? The nationwide recall applies to limited batches of 5.5-ounce Gerber Arrowroot Biscuits, produced between July 2025 and September 2025. Gerber emphasizes that no other products are impacted. Product packaging images and other details are included n the FDA’s website. Gerber markets the products as “crawler snacks,” and “baby’s first biscuit,” noting that the treats dissolve easily. It alternatively describes the product as cookies. Customers should check the back of the product packaging to verify whether their package is included in the recall. Each package has a 10-digit batch code listed next to the best-before date. The best-before dates range from mid-October into mid-December 2026. The full list of batch codes is available on Gerber’s website. [Photo: via FDA] Fast Company contacted Gerber to ask for more information about the arrowroot flour supplier. We will update this story if we get a reply. Impacted products should not be consumed Customers who have purchased the impacted product should not feed it to their child. They should return the product to the retailer where it was purchased for a refund. All-day consumer support is available by calling 1-800-4-GERBER (1-800-443-7237). Gerber is a subsidiary of Swiss multinational food giant Nestlé S.A.
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E-Commerce
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