Aug 15 (Reuters) - PepsiCo ( PEP ) can be sued for

marketing its Gatorade protein bars as good for you though they

have more sugar than protein and more sugar than typical candy

bars, a federal judge ruled.

In a decision on Wednesday, U.S. District Judge Casey Pitts

in San Jose, California said three self-described fitness

enthusiasts leading a proposed class action plausibly alleged

that PepsiCo's ( PEP ) marketing and labeling was deceptive.

Neither PepsiCo ( PEP ) nor its lawyers immediately responded to

requests for comment.

Not all protein bars are equal in nutritional benefits.

PepsiCo ( PEP ) was accused last September of violating federal and

state consumer protection laws by creating a "health halo"

around Gatorade bars, including assurances they "help muscles

rebuild," are "used by the pros" and are "backed by science."

According to the lawsuit, the bars are actually "fortified

junk food" with 29 grams of sugar, including 28 grams of added

sugar -- more than the American Heart Association's recommended

25 gram daily limit for women -- and just 20 grams of protein.

The plaintiffs said excess consumption of added sugar is

linked to high rates of obesity, diabetes and cardiovascular

disease.

They said they wouldn't have bought Gatorade bars or would

have paid less had they understood their nutritional character,

and are seeking unspecified damages.

PepsiCo ( PEP ) called the deception claims "implausible" because it

did not market the bars as healthy or low in sugar, especially

for flavors such as Chocolate Chip and Cookies and Cream.

Pitts, however, said reasonable consumers might be unable to

readily interpret the sugar content on labels, and be misled by

PepsiCo's ( PEP ) "self-proclaimed science-backed claims."

The judge also agreed that PepsiCo ( PEP ) can make health- and

protein-content claims consistent with federal regulations.

He said, for example, that the U.S. Food and Drug

Administration does not consider sugar a "disqualifying

ingredient" when making health claims.

Maia Kats, a lawyer for the plaintiffs, said they welcomed

the decision and would continue pursuing their claims.

PepsiCo ( PEP ) is based in Purchase, New York. Its dozens of brands

also include Fritos, Lay's, Mountain Dew and Ocean Spray.

The case is McCausland et al v PepsiCo Inc ( PEP ), U.S. District

Court, Northern District of California, No. 23-04526.