In August, ConAgra was hit with a lawsuit filed by Milberg LLP, arguing that its line of Wesson oils can't be "all-natural" since the oil contains GMOs. The process of genetic modification is in fact unnatural, the suit claims, which should nullify the term "all-natural."
Now, Milberg LLP is suing Frito-Lay for the same reason. The Tostitos and Sun Chips brands contain the claim "made with all-natural ingredients," despite the fact that genetically modified corn and vegetable oil are also used.
Although Milberg certainly has a point, it will likely be hard case to win. The term "natural," at least according to the FDA, is defined as, "ingredients extracted directly from plants or animal products as opposed to being produced synthetically." A definition is different from a regulation, however. The term is not regulated and can therefore encompass -- at least in theory -- ingredients made from GMOs.
GMOs do not currently have to be listed as ingredients in processed food -- PepsiCo, which owns Frito-Lay, uses genetically-modified sweeteners (high fructose corn syrup) in its soft drinks, and does not label them for U.S. consumers.