Migliaccio & Rathod LLP is investigating whether PepsiCo, Inc. improperly retained the financial benefits of tariff-related price increases after becoming eligible to recover tariff payments from the federal government.
The investigation focuses on whether PepsiCo increased prices on beverages and snack foods because of tariffs affecting imported ingredients, packaging materials, or manufacturing costs, while later seeking or receiving tariff refunds without providing consumers any corresponding price reductions or reimbursements.
What Consumers Report
Consumers report:
- Paying noticeably higher prices for PepsiCo products during the tariff period.
- Seeing repeated price increases on soft drinks, sports drinks, chips, and snack foods.
- Being told that inflation, tariffs, or supply-chain costs contributed to higher prices.
- Never receiving refunds or price reductions after tariff refunds became available.
- Continuing to pay elevated prices despite reports that import costs had declined.
- Believing companies retained savings that were never shared with consumers.
Why Consumers Should Be Concerned
PepsiCo is one of the nation’s largest food and beverage manufacturers, selling products under brands including Pepsi, Mountain Dew, Gatorade, Lay’s, Doritos, Cheetos, Tostitos, Quaker, and many others. During the tariff period, the company publicly discussed higher costs associated with imported materials and other supply-chain expenses.
Following the Supreme Court’s decision invalidating many IEEPA tariffs, companies that previously paid those duties became eligible to seek refunds from U.S. Customs and Border Protection. If PepsiCo ultimately recovers tariff payments while continuing to retain price increases that were justified by those same tariffs, consumers may have effectively paid twice for costs that no longer existed.
Consumers generally expect prices to reflect actual business costs. When those costs are later reimbursed by the government, consumers may reasonably expect businesses to lower prices, provide credits, or otherwise pass along the financial benefit rather than retaining both higher retail prices and government refunds.
This investigation seeks to determine whether PepsiCo adequately disclosed how tariff refunds would affect consumer pricing and whether purchasers paid more than they otherwise would have absent the allegedly unlawful tariffs.
Potential Claims May Include
- Consumer Protection
- Deceptive Trade Practices
- False Advertising
- Unjust Enrichment
- Breach of Express Warranty
- State Consumer Protection Law Violations
- Unfair Competition
Signs You May Be Affected
You may be affected if:
- You purchased PepsiCo food or beverage products between February 2025 and February 2026.
- You paid higher prices for Pepsi, Gatorade, Lay’s, Doritos, Cheetos, Quaker, or other PepsiCo brands.
- You believe those prices reflected tariff-related cost increases.
- You never received any refund, rebate, or price adjustment after tariff refunds became available.
- You believe PepsiCo retained tariff-related savings that were never returned to consumers.
If you have encountered these issues, we would like to hear from you. Please complete the contact form on this page, send us an email at [email protected], or give us a call at (202) 470-3520.