Poppi, a soda company selling carbonated prebiotic drinks, will pay $8.9 million to settle a false advertising lawsuit, according to court documents.
A class action lawsuit alleged that the company was incorrectly advertising that its drinks are "gut healthy," despite there being no science to back the claim.
The settlement will benefit consumers who purchased any flavor or package size of the beverages between January 23, 2020, and July 18, 2025.
No one's going to get rich claiming the settlement payouts unless they've been drinking a whole lot of Poppi. Those who can prove their purchase can receive up to $0.75 per single can, $3 per four-pack, $6 per eight-pack, and $9 per 12 or 15 pack.
The exact payout may vary depending on the number of claims filed.
Poppi hasn't admitted to any wrongdoing as part of the settlement.
The company's gut health claims are rooted in the inclusion of a fiber called inulin in its drinks. Inulin can be found naturally in a number of fruits, vegetables, and plants. The inulin included in Poppi drinks is derived from agave.
The fiber, which is classified as prebiotic, allegedly feeds and promotes good bacteria in the digestive system. Gut health has been an emerging health food trend for several years, as maintaining a healthy digestive system is thought to help lessen constipation, improve weight control, and balance blood sugar, according to NBC News.
The lawsuit that Poppi settled claimed that the beverages did not include enough inulin to make a difference in drinkers' gut health.
At the time the lawsuit was filed, Poppi issued a statement saying it stood by its product, calling the lawsuit "baseless."
The settlement may prove frustrating for PepsiCo, the maker of Pepsi and other sodas, as it just acquired Poppi earlier this year in a $1.95 billion purchase.
On Monday, Pepsi announced that it will launch its own prebiotic soda using the Pepsi name beginning this fall.
Pepsi's drink only contains three grams of prebiotic fiber, which is just one gram more than Poppi's soda. It will also be sweetened by cane sugar rather than typical Pepsi sodas, which are sweetened with corn syrup.
According to a 2023 study by the National Institute of Health, the "daily effective intake" of inulin is five grams, and the maximum daily intake is between 15 and 20 grams.
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