Global beverage giant, PepsiCo Inc has said that it will no longer brand its Naked juices as being "all natural" following a lawsuit challenging the move against the company.

The lawsuit against the company based in Purchase, N. Y, claimed that the drinks contain ingredients that cannot be branded as natural. Pepsi has also agreed to pay $9 million to settle the lawsuit after admitting that it uses boost of vitamins in some drinks.

The lawsuit alleged that the company is suing synthetic ingredients, including a fiber made by Archer Daniels Midland in the drinks. The company has not confirmed if it uses these ingredients in its juices. The company said that it has decided to remove the word, natural from its labels until more regulatory clarity.

The Food and Drug Administration does not have a clear definition of what constitutes a natural product and this has led to confusion over the use of the word in the industry with many firms taking advantage of the ambiguity. The FDA only says that it is not against the use of the term if the product does not include added color, artificial flavors or synthetic substances.