Delhi HC sets aside FSSAI order directing Red Bull to remove term ‘energy drink’ on its beverage

NEW DELHI: The Delhi High Court on Tuesday set aside an order of the Food Safety Standards Authority of India (FSSAI) directing Red Bull to stop using words ‘energy drink’ on its product.

Justice Amit Mahajan passed the order while noting that the FSSAI passed the order without giving any opportunity to the company to file a reply or give any explanation.

“The petition is allowed. The impugned order (of FSSAI) is set aside. The respondent is at liberty to pass a fresh order after according a hearing to the petitioner,” the court said while dictating the order and noted that principles of natural justice have been violated.

The court added that it remained undisputed that the June 30 order of FSSAI directing petitioner Red Bull to not use the term ‘energy drink’ in its product was passed without giving any opportunity to it to file any reply.

It further said that FSSAI is free to take a fresh decision in the matter after following due process by issuing a show cause notice to Red Bull and granting it an opportunity of hearing.

The court was informed by FSSAI that no separate show cause notice was given and that the June 30 letter itself was a notice and that the concern was only with the use of the words ‘energy drink’, and not with the product itself.

The court passed the order on a plea by Red Bull challenging a June 30 order of FSSAI directing the company to discontinue using term ‘energy drink’ on its beverage products.

The court, therefore, allowed Red Bull’s petition challenging the FSSAI's June 30 order, on the limited ground that natural justice principles had been violated.

The petitioner company submitted that it had been using the ‘energy drink’ descriptor for its beverage products in India since 2002 and that FSSAI had itself previously recognised its use for the relevant category of caffeinated beverages.