SodaStream to Compensate Customers with 2.9 Million Shekel Benefit

The Central District Court in Lod has approved a settlement in a class-action lawsuit against SodaStream Israel, requiring the company to provide customers with benefits totaling 2.9 million shekels. The lawsuit, filed in September 2023 by four customers, concerned the sale of soda-making devices and related accessories. The core of the claim was that SodaStream's "subscription programs" for gas cylinders, which involve a fixed number of cylinders over a set period, prevented customers from using remaining cylinders after the subscription term ended. Plaintiffs alleged the company forced consumers to renew their contracts to access already paid-for cylinders and failed to properly present the agreement and its terms.

Under the settlement, SodaStream will automatically provide an additional year of warranty to 58,000 recently purchased soda makers that were bought before the court's approval date. This extended warranty will begin immediately after the original warranty expires, at no cost or action required from the customer. The value of this benefit per device is estimated at approximately 50 shekels. Additionally, the company is mandated to consolidate its program terms into a single document, compliant with consumer protection laws, and distribute it to customers.