By Belinda Castles
Researcher | Kairangahau
A class action against pharmaceutical giant Johnson & Johnson has been given permission to proceed by the New Zealand High Court. The class action, which was filed in 2025, is against Johnson & Johnson allegedly selling ineffective cold and flu remedies. It covers well-known brands Benadryl, Codral and Sudafed.
The 16 products included in the class action contain the decongestant phenylephrine. This was marketed as an alternative to pseudoephedrine when the latter was made a prescription-only medicine in 2011.
The action filed by law firm JGA Saddler was brought under the Consumer Guarantees Act and Fair Trading Act. The plaintiff alleged Johnson & Johnson manufactured and marketed products that had decades of evidence showing they don’t work as claimed.
JGA Saddler said thousands of New Zealanders have joined the class action. But according to its press release “hundreds of thousands may be eligible for compensation as the action included people who have purchased the medicines as far back as 2005.”
What’s the issue?
In 2024, the United States’ Food and Drug Administration (FDA) proposed banning oral phenylephrine as an active ingredient in over-the-counter products. This came after an FDA review determined the drug was ineffective for the temporary relief of nasal congestion.
Consumer NZ chief executive Jon Duffy explained that class actions like this enable people to collectively pursue one claim together. He said class actions are rare in New Zealand but are vital to keep businesses honest.
“There is no excuse for large, multinational pharmaceutical companies with huge resources, like Johnson & Johnson, to be marketing products that are ineffective."
“Consumers should be able to be confident that claims being made about products are accurate and can be backed up,” Duffy said.
Consumer’s 2024 investigation into cold and flu remedies found the evidence for the active ingredients in some cold and flu remedies didn’t stack up. It also found the remedies were no better than a placebo.
Consumer health spokesperson Belinda Castles said phenylephrine was one of the ingredients the organisation called out in its review.
Castles said one of the largest pharmacy chains in the United States, CVS Pharmacy, no longer sells oral products that contain phenylephrine as the only ingredient. We’d like retailers in New Zealand to do the same.
“We asked who had considered removing these products from sale last year. And we were disappointed by the response we received from supermarkets and pharmacies.”
What works to treat a cold?
The long and the short of it is that there’s no cure for the common cold. Aside from products containing pseudoephedrine, most over-the-counter medicines won’t offer anything more than a placebo effect, so they’re a waste of money.
Castles said the best thing you can do is stay home. This has the added benefit of preventing you from passing on the virus.
“When it comes to pain relief, everyday painkillers like paracetamol and ibuprofen are good options. They’ll also save you money, compared with the bespoke cold and flu remedies on offer. And, you’ll pay even less if you choose generic, rather than branded, medicines,” Castles said.
Consumers now have the option to buy products containing pseudoephedrine again to help with congestion.
We encourage anyone who purchased any of the products listed below between 2005 and 2025 to join the class action.
Visit the Johnson & Johnson Cold and Flu Class Action website for more information.
Products included in the class action
Benadryl Range
Benadryl PE Chesty Cough & Nasal Congestion
Benadryl Mucus Relief Plus Decongestant
Codral Range
Codral Cold & Flu
Codral Day & Night
Codral Night
Codral Cold & Flu (powder sachet)
Codral Mucus Cough + Cold (liquid medicine)
Codral Cold & Flu + Mucus Cough (powder sachet)
Codral Cold & Flu + Mucus Cough
Codral Decongestant
Day & Night Cold & Flu + Cough Combination
Sudafed Range
Sudafed PE Nasal Decongestant
Sudafed PE Sinus + Allergy & Pain Relief
Sudafed PE Sinus + Anti inflammatory Pain Relief
Sudafed PE Sinus + Pain Relief
Sudafed PE Sinus + Pain Relief Day + Night
Cold and flu remedies – which ones are a waste of money?
We checked out the evidence for the active ingredients in remedies that claim to combat the common symptoms of colds and flu.
