Phusion Projects, the company responsible for developing and distributing the drink officially branded as "Four Loko" and commonly referred to as "blackout in a can," is now facing a class-action lawsuit for misleading its consumers.

The Food and Drug Administration has criticized Phusion's Four Loko for being a dangerous product that combines large amounts of alcohol with caffeine and other stimulants. The beverage once contained as much caffeine as one cup of coffee and as much alcohol as nearly five beers.

The FDA issued a warning letter to Phusion Projects after Four Loko ran into legal trouble in Ohio and several other states over concerns about young adults who had required hospitalization after consuming the drink.

According to the recently filed class-action lawsuit, Phusion used colorful packaging to deceive consumers and disguise the health risks associated with Four Loko. The suit also claims that Phusion violated consumer protection laws and seeks to provide refunds for everyone who purchased Four Loko after 2006.

The Chicago-based company began selling Four Loko in 2005. The drink was previously sold in 23-ounce containers with brightly colored packaging. The drink became popular among college students with flavors that included Uva Berry and Watermelon.

Phusion states that the suit is "meritless" and that they intend to "vigorously defend the lawsuit." The company continued to defend themselves by claiming that they are a responsible member of the alcoholic beverages industry.

In November, the company agreed to replace "blackout in a can" with another drink that does not contain caffeine after it received significant pressure from the media and the FDA.

Source: Westlaw News, "Class action targets 'blackout in a can' beverage maker," Jeff Roberts, 3/7/2011