Tenth Circuit reverses denial of class certification for Natural American Spirit purchasers in multiple states and affirms certification of menthol purchaser classes; case returns to New Mexico federal court
DENVER, Colo. — July 31, 2026 — The U.S. Court of Appeals for the Tenth Circuit has revived class claims brought by consumers in multiple states who allege that “Natural” and “100% Additive-Free” labels on Natural American Spirit cigarettes led them to believe the cigarettes were safer than others — and to pay more for them. In a published decision issued July 29, the court reversed the denial of class certification for those purchasers, affirmed certification of classes of menthol cigarette purchasers, and returned the case to the U.S. District Court for the District of New Mexico.
The consumers allege that Santa Fe Natural Tobacco Company, Inc., Reynolds American, Inc., and R.J. Reynolds Tobacco Company charged a price premium based on labeling that implied a safer cigarette, and that the “100% Additive-Free” label on menthol cigarettes is false because menthol is an additive. The claims seek recovery of the premium consumers allegedly overpaid.
The decision resolves questions that reach well beyond this case. The court held that a price-premium damages model does not have to rule out every alternative reading of a challenged label to support certification, and that any difficulty identifying class members is one factor for courts to weigh — not a threshold barrier. It also declined to bar sworn consumer affidavits as proof of purchase — often the only proof that exists for purchases made years earlier.
“Every consumer who picked up a pack saw the same labels. Whether those labels misled people is one question with one answer — and the court recognized that no one loses the right to ask it because they didn’t keep a receipt for a pack of cigarettes,” said Caleb Marker, Managing Partner in Zimmerman Reed’s California office.
The litigation began in 2015 and was consolidated in the District of New Mexico in 2016. Following a five-day evidentiary hearing, the district court declined to certify the “safer-cigarette” classes but certified menthol purchaser classes; both sides appealed. Judge Rossman wrote the panel opinion, joined by Judge Ebel; Judge Tymkovich dissented. The court of appeals also affirmed portions of the order, including the denial of certification of Illinois consumer-fraud claims and of unjust-enrichment classes in most states.
On remand, the district court will reweigh class certification consistent with the opinion. Zimmerman Reed is part of the team representing the plaintiff classes, alongside co-counsel. The decision is Dunn v. Santa Fe Natural Tobacco Co., Nos. 23-2180 & 23-2181 (10th Cir. July 29, 2026); the opinion is publicly available on the Tenth Circuit’s website.
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