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Or sign-in if you have an account.The class-action lawsuit includes consumers in Quebec who were charged for a non-dairy substitute at Starbucks, Second Cup and Tim Hortons between certain dates. Photo by Adobe StockA Quebec judge has authorized a class-action lawsuit that alleges Starbucks, Second Cup and Tim Hortons charged Canadian consumers unfair prices for milk alternatives.Enjoy the latest local, national and international news.Exclusive articles by Conrad Black, Barbara Kay and others. Plus, special edition NP Platformed and First Reading newsletters and virtual events.Unlimited online access to National Post.National Post ePaper, an electronic replica of the print edition to view on any device, share and comment on.Daily puzzles including the New York Times Crossword.Support local journalism.Enjoy the latest local, national and international news.Exclusive articles by Conrad Black, Barbara Kay and others. Plus, special edition NP Platformed and First Reading newsletters and virtual events.Unlimited online access to National Post.National Post ePaper, an electronic replica of the print edition to view on any device, share and comment on.Daily puzzles including the New York Times Crossword.Support local journalism.Create an account or sign in to continue with your reading experience.Access articles from across Canada with one account.Share your thoughts and join the conversation in the comments.Enjoy additional articles per month.Get email updates from your favourite authors.Create an account or sign in to continue with your reading experience.Access articles from across Canada with one accountShare your thoughts and join the conversation in the commentsEnjoy additional articles per monthGet email updates from your favourite authorsSign In or Create an AccountorLaw firm LPC Avocats alleged in a summary of the case against the coffee chains: “For years, Starbucks, Second Cup and Tim Hortons have been price gouging consumers who requested non-dairy substitutes in their beverages, either because of medical reasons (such as lactose intolerance), or other health, personal, social or environmental reasons (such as vegans representing approximately 5% of Canadians).”They added that Starbucks and Second Cup charge “an abusive and unconscionable” surcharge of $0.80 plus taxes for non-dairy substitutes, while Tim Hortons charges $0.50 plus taxes.Get a dash of perspective along with the trending news of the day in a very readable format.By signing up you consent to receive the above newsletter from Postmedia Network Inc.A welcome email is on its way. If you don't see it, please check your junk folder.The next issue of NP Posted will soon be in your inbox.We encountered an issue signing you up. Please try againThey said the non-dairy substitutes, such as soy, oat, almond and coconut milks, cost the coffee chains “a fraction of that amount.”According to Wednesday’s ruling, Starbucks admitted that it incurs an additional $0.12 for substituting cow’s milk for a non-dairy option, but charges the customer $0.80 for the alternative.“By its own admission, Starbucks therefore charges consumers more than six times the cost it incurs when it replaces cow’s milk with plant-based or lactose-free milk in its beverages,” Superior Court Justice Catherine Martel said according to court documents.She added that it is “disproportionate to charge the consumer more than six times what it costs the merchant to substitute cow’s milk with plant-based milk” and that this disproportion is “sufficiently significant to cause serious harm to the consumer.”The class-action lawsuit includes all consumers in Quebec who were charged for a non-dairy substitute at Starbucks (between Dec. 30, 2021 and Nov. 7, 2024), Second Cup (between Dec. 30, 2021 and Feb. 27, 2025), and Tim Hortons (between Dec. 30, 2021 and Jan. 2, 2025).LPC Avocats says the purpose of the class action is to obtain an injunction ordering Second Cup and Tim Hortons to cease surcharging for non-dairy substitutes, as well as reimbursement and punitive damages for class members.Starbucks ceased imposing a surcharge for non-dairy substitutes in November 2024.The ruling does not determine whether Starbucks, Second Cup and Tim Hortons acted unlawfully, but allows the case to proceed.The application to authorize a class action was filed on Dec. 30, 2024, and the plaintiff, Liel Ohayon, alleges the surcharges violated Quebec’s Consumer Protection Act, using the results of a Dalhousie University study that suggested plant-based milks cost roughly the same as cow’s milk.However, Justice Martel rejected this, on the basis that “the retail price of cow’s milk is regulated in Quebec, while the price of plant-based milks is not,” according to court documents.The case instead advanced based on procurement costs submitted by the defendants, which showed that dairy alternatives cost Starbucks 16 per cent more than cow’s milk, while they cost Foodtastic (the owner of Second Cup) 98 per cent more. TDL Group said Tim Hortons franchisees paid 63 per cent more for dairy alternatives in western Quebec and 67 per cent more in eastern Quebec.The court calculated that this means Second Cup charged $0.80 for a substitution that cost the chain $0.43, while Tim Hortons charged $0.50 for a substitution that cost $0.28 eastern Quebec.The ruling said that these figures “indicate that it is possible to argue that the price surcharges for dairy substitutes in the defendants’ restaurants are unfair within the meaning of section 8 of the Consumer Protection Act.”Our website is the place for the latest breaking news, exclusive scoops, longreads and provocative commentary. Please bookmark nationalpost.com and sign up for our newsletters here. Join the Conversation This website uses cookies to personalize your content (including ads), and allows us to analyze our traffic. Read more about cookies here. By continuing to use our site, you agree to our Terms of Use and Privacy Policy.