WorldA proposed class-action lawsuit that says Costco "systematically cheated" customers by advertising its hugely popular Kirkland Signature seasoned rotisserie chicken as containing no preservatives is "fatally flawed" and should be thrown out, lawyers for the company say.Proposed class-action alleges big-box retailer falsely advertised chickens as preservative-freeJohn Mazerolle · CBC News · Posted: Jun 17, 2026 9:32 AM EDT | Last Updated: 6 hours agoListen to this articleEstimated 3 minutesThe audio version of this article is generated by AI-based technology. Mispronunciations can occur. We are working with our partners to continually review and improve the results.Rotisserie chickens for sale at a Costco store in New York City in January. Lawyers for the company say a lawsuit that alleges false advertising on the chicken packaging should be dismissed. (Brendan McDermid/Reuters)Costco's rotisserie chicken lawsuit has taken another turn.The proposed class-action — which says Costco "systematically cheated" customers by advertising its hugely popular rotisserie chicken as preservative-free — is "fatally flawed" and should be thrown out, lawyers for the company said in a new filing this month.The original lawsuit was filed in January in the U.S. District Court for the Southern District of California by two women from the state.Costco's beloved rotisserie chicken gets roasted in lawsuit over preservativesIt notes Costco's Kirkland Signature seasoned rotisserie chicken includes sodium phosphate and carrageenan and calls them preservatives. Lawyers for the two women allege the "No Preservatives" label on the packaging was therefore misleading, unlawful and unfair.Costco told CBC News at the time it uses the ingredients to support moisture retention, texture and product consistency during cooking.After the lawsuit was filed, the company subsequently said it had removed its "no preservatives" references "to maintain consistency" among its labelling and signs — a move that the plaintiff's legal team pointed to as validation."It’s confirmation of our core legal theory — the 'no preservative' claims were false," Wesley M. Griffith of the Almeida Law Group said in an online statement.A Kirkland Signature premium brand roasted rotisserie chicken is seen in this 2005 file photo, before the company switched to a resealable bag. The label says 'no preservatives.' (Tim Boyle/Getty Images)But Costco's motion to dismiss, filed June 4, says, "This theory is fatally flawed. " The documents argue sodium phosphate and carrageenan do not function as preservatives in the chicken and that they are "unambiguously" described in the seasoning ingredients on the label."Plaintiffs' own sources contradict [the allegation], the regulations of the U.S. Food and Drug Administration discredit it, and the product label dispels it."Ottawa has struggled to increase grocery competition. Will the new food strategy help?Meet Costco's newest shoppers — young people on the hunt for deals and trending productsCostco's lawyers also take issue with the original complaint's claim that if the two women had known what the chicken contained they would have paid less for it elsewhere."Plaintiffs concede that Costco removed the disputed signage after this lawsuit was filed, yet the rotisserie chicken's price remains unchanged at its well-known $4.99. This admission is fatal: there is no price premium, and there never was one."Count their chickensCostco's rotisserie chickens are one of the retail giant's signature items — they've been $4.99 US in the U.S. since 2009, with the company willing to hold the line in order to attract customers(Former Costco CEO Craig Jelinek famously told a story where he told founder Jim Sinegal that he needed to raise the similarly static price of Costco's $1.50 hot dog. Sinegal said Jelinek replied, "If you raise the effing hot dog, I will kill you.")In Canada, Costco's rotisserie chicken is more like $7.99 to $9 Cdn, which is still less expensive than comparable cooked chickens sold at other major grocery stories.Costco sold 154.7 million birds worldwide in 2025 — or about 300 a minute.Costco's lawyers are asking the court to dismiss the complaint with prejudice, meaning the plaintiffs would not be able to try again.A judge will hear the motion to dismiss on Aug. 13.With files from Natalie Stechyson