Costco recalls popular bakery item — customers urged to return ASAP for full refund

The retailer has been at the center of a lot of controversy of late, and this just adds to it.

PUBLISHED FEB 3, 2026

Customer pushing a Trolley in Costco. (Cover Image Source: Getty Images | Joe Raedle )

Even the biggest brands can get it wrong from time to time, and that is exactly what Costco experienced recently as it was forced to recall one of its products. The reason for the recall was a labelling error, which led to an undisclosed allergen in the product that could turn fatal for some. The product in question was a popular bakery item called Mini Beignets filled with Caramel.

Representative image of a Costco Wholesale store (Cover image source: Getty Images/Photo by Johnny Louis) — Representative image of a Costco Wholesale store (Image source: Getty Images/Photo by Johnny Louis)

As per a report in Fox News, the company mistakenly packaged the Caramel version with Mini Beignets filled with Chocolate Hazelnut. Due to this mistake, the Caramel item's packaging had no mention of the tree nuts. Those allergic to hazelnuts or filberts have been urged to return them to their nearest Costco store for a full refund. Consumption is completely out of the question in this regard, as the allergies can be severe.

"If you are allergic to Hazelnuts/Filberts, do not consume this product. Please return it to Costco for a full refund," a company statement read. The scary part is that the product was sold in a large number of states from January 16 to 30, including Alabama, Arizona, California, Colorado, Florida, Georgia, Hawaii, Idaho, Illinois, Iowa, Louisiana, Michigan, Missouri, Nevada, New Jersey, New York, Ohio, Oregon, Pennsylvania, Tennessee, Virginia, and Washington.

A customer moves through the checkout lane with his groceries at a Costco | Getty Images | Robert Nickelsberg) — A customer moves through the checkout lane with his groceries at a Costco. (Image source: Getty Images | Robert Nickelsberg)

Things have not been going well for Costco of late. Not only are they in a legal battle with the President of the country, but recently, one of their most popular products became the subject of a class action lawsuit. The $4.99 rotisserie chicken, which customers flock to buy, was said to have no preservatives. However, the lawsuit claims that it is not the case, and the Rotisserie Chicken does contain two added preservatives—sodium phosphate and carrageenan.

"The presence of sodium phosphate and carrageenan, added preservatives which function as such in the Rotisserie Chicken, contradict the overall net impression that Costco’s ‘No Preservatives’ representations and advertising create," the lawsuit, filed on behalf of Anatasia Chernov and Bianca Johnston, reads as per the Fox report.

The Costco rotisserie chicken. (Image Source: Getty Images| Photo by Smith Collection/Gado)

The suit claimed that Costco knew full well about the preservatives but failed to disclose them in a manner that wasn’t misleading or not easily understandable. "Consumers reasonably rely on clear, prominent claims like ‘No Preservatives,’ especially when deciding what they and their families will eat," Wesley Griffith, California managing partner at the Almeida Law Group LLC, who is representing the party suing Costco, said.

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