April 8, 2025 • 7 mins
On this episode of Our American Stories, The Harrier jet might be the pride of the U.S. Marine Corps, but in the 1990s, it became the crux of one of the most bizarre lawsuits in American history. What had started as a joke in an ad turned into a serious battle over fine print. Journalist Sean Kernan shares the wild story of John Leonard vs. Pepsi—and explains why the court's findings still matter today.
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Episode Transcript
Available transcripts are automatically generated. Complete accuracy is not guaranteed.
Speaker 1 (00:10):
This is Lee Habib and this is our American Stories,
and we tell stories about everything here on this show,
including your story. Send them to our American Stories dot com.
There's some of our favorites. And up next a curious
case of contract law. In nineteen ninety six, one John
Leonard sued Pepsi over a promise that he saw as
(00:32):
renegdon But that's only half of the story. Here's our
own Monty Montgomery to help tell.
Speaker 2 (00:38):
The rest.
Speaker 3 (00:41):
Court cases our serious business. If I put this nitcap on,
who am I? I'm still Johnny Cochran with a nit cap.
Court cases are important. I have Douglass.
Speaker 1 (00:56):
You will not be handy or honor. You know what
if Douglas beats you to a pop, I'll be delighted.
Speaker 2 (01:01):
Get out.
Speaker 4 (01:02):
And there's one court case in the nineties that was
truly astounding. And no it's not the people versus OJ.
I'm talking about Leonard versus Pepsi co inc he's Sean
Kurnin of Medium with this dramatic story of deceit twists
and turns and contract blow.
Speaker 2 (01:27):
In nineteen ninety six, Pepsi rolled out one of its
drink Pepsi Get Stuff campaigns It was your usual promotion
where you get points the purchases that you can later use.
The tv ad targeted teenage and early twenties customers. It
showed all these cool things you could win with Pepsi points.
They showed a kid wearing a Pepsi T shirt seventy
five Pepsi points. He was wearing a leather jacket that
(01:50):
was fourteen hundred and fifty points. He had sunglasses on
that were one hundred and seventy five points. They then
boasted the more Pepsi you drink, the more great stuff
you're going to get.
Speaker 3 (02:00):
Then it escalated.
Speaker 2 (02:05):
The commercial ends with that same kid who was wearing
the leather jacket and sunglasses landing a Harrier jet in
front of a school. Everyone's papers were blowing off of
their desks and kids were crowding to the window to
see the jet landing. And there in the courtyard is
a literal Harrier with.
Speaker 3 (02:21):
The kid in it.
Speaker 2 (02:22):
The jets armed the teeth, and below it it says
Harrier Fighter seven million Pepsi points. The campaign was mostly
a success, as sales increased significantly, but there would be
an interesting twist in this promotion. A twenty one year
old business student John Leonard saw the commercial and took
a particular interest in that jet. To get the harrier,
(02:44):
he would need to buy millions of pepsis. Most winning
pepsis only had one point on the label, some had
three to five, but there were no one million Pepsi
point bottles.
Speaker 3 (02:55):
But there was a workaround.
Speaker 2 (03:01):
John noticed the fine prints said you could buy points
to get the merchandise instead. Each point was ten cents, so,
for example, the fourteen hundred and fifty point jacket cost
one hundred and forty five dollars, the one hundred and
seventy five point sunglasses would cost seventeen dollars and fifty cents. Notably,
both items likely cost a fraction of that to make,
(03:23):
but it was good margins and smart business. What Pepsi
failed to notice was the margins on the harrier, which
wasn't listed in the catalog, but was advertised in the commercial.
John did some quick math and realized that the seven
million point harrier would cost seven hundred thousand dollars. Back
in the real world, a fresh harrier sells for north
of thirty million dollars. John Leonard found four investors who
(03:47):
all pitched in. He then sent the check for seven
hundred thousand dollars directly to Pepstine.
Speaker 3 (03:53):
His check said he wished.
Speaker 2 (03:54):
To redeem his points for the Harrier they'd advertise in
the commercial, and thus began a war of letters. Pepsi's
marketing team wrote back the item you've request it is
not part of the Pepsi Stuff collection. It is not
included in the catalog or in the order form. Only
catalog merchandise can be redeemed under this program. The Harrier
(04:16):
jet in the commercial is fanciful and is included simply
to create a humorous and entertaining ad. We apologize for
any misunderstanding or confusion that you may have experienced. We
are including some freak product coupons for your use. John
Leonard was not satisfied. His lawyer wrote a response, your
letter of May seventh, nineteen ninety six is totally unacceptable.
(04:36):
We have reviewed the videotape of the Pepsi Stuff commercial
and it clearly offers a new Harrier Jet for seven
million Pepsi points. Our client followed your rules explicitly. This
is a formal demand that you honor your commitment and
make immediate arrangements to transfer the new Harrier jet to
our client. If we do not receive transfer instructions within
ten business days of the date of this letter, you
(04:56):
will leave us with no choice but the file and
appropriate action against pet Pepsi's senior marketing executive, Raymond McGovern,
then jumped in with his own letter, I find it
hard to believe that you are of the opinion that
the Pepsi stuff commercial quote commercial really offers a new
Harrier jet. The use of the jet was clearly a
joke that was meant to make the commercial more humorous
(05:18):
and entertaining. In my opinion, no reasonable person would agree
with your analysis of the commercial. This is when formal
court cases started firing up. Quite comically, PEPSI had to
file an official case stating they shouldn't be required to
furnish a Harrier jet to John Leonard. For the next
three years, this case weaved through court systems before a
(05:39):
judge ruled in Pepsi's favor for two key reasons. One,
a commercial is not a contractual offer. Two, the commercial
was clearly tongue in cheek. No reasonable person would have
thought the offer was real. Lastly, and quite humorously, again,
the judge added this commentary. In light of the Harrier
jet's well documented function in attacking and destroying surface to
(06:00):
air targets, armed reconnaissance and air interdiction, and offensive and
defensive anti aircraft warfare, depiction of such a jet as
a way to get to school in the morning is
clearly not serious, even if the plaintiff contends the jet
can be delivered in a form that removes its military use.
Pepsi went on to amend it's commercial, changing seven million
points to seven hundred million points. They would also add
(06:22):
a small print to the advertisement, saying, just kidding, if
there's any silver lining to all this madness. The case
has now become a staple in law schools. A good
majority of legal students will end up studying Leonard versus PepsiCo, Inc.
As the case offers an entertaining look into the infinite
gray area of contract law. All that being said, a
(06:43):
small part of me still wishes they'd just given the
guy the Harrier or done something cool for him besides
offering a few couponts.
Speaker 1 (06:53):
And a great job by Monty Montgomery and just a
delight to listen to and in its own way, what
kind of prank I mean? I just wanted to suit
would happen. But the idea of wrangling together seven hundred
thousand dollars to just well stick it to PEPSI just
have some fun, and of course the court stuck it
right back to these folks. But they've always had this
(07:15):
story as a result, and a great lawcase, the story
of John Leonard and a suit against Pepsi for a
harrier jet. Here on our American Story.
Speaker 2 (07:31):
Folks.
Speaker 1 (07:31):
If you love the great American stories we tell and
love America like we do, we're asking you to become
a part of the Our American Stories family. If you
agree that America is a good and great country, please
make a donation. A monthly gift of seventeen dollars and
seventy six cents is fast becoming a favorite option for supporters.
Go to our American Stories dot com now and go
(07:52):
to the donate button and help us keep the great
American stories coming. That's our Americanstories dot Com.
This is Lee Habib and this is our American Stories,
and we tell stories about everything here on this show,
including your story. Send them to our American Stories dot com.
There's some of our favorites. And up next a curious
case of contract law. In nineteen ninety six, one John
Leonard sued Pepsi over a promise that he saw as
(00:32):
renegdon But that's only half of the story. Here's our
own Monty Montgomery to help tell.
Speaker 2 (00:38):
The rest.
Speaker 3 (00:41):
Court cases our serious business. If I put this nitcap on,
who am I? I'm still Johnny Cochran with a nit cap.
Court cases are important. I have Douglass.
Speaker 1 (00:56):
You will not be handy or honor. You know what
if Douglas beats you to a pop, I'll be delighted.
Speaker 2 (01:01):
Get out.
Speaker 4 (01:02):
And there's one court case in the nineties that was
truly astounding. And no it's not the people versus OJ.
I'm talking about Leonard versus Pepsi co inc he's Sean
Kurnin of Medium with this dramatic story of deceit twists
and turns and contract blow.
Speaker 2 (01:27):
In nineteen ninety six, Pepsi rolled out one of its
drink Pepsi Get Stuff campaigns It was your usual promotion
where you get points the purchases that you can later use.
The tv ad targeted teenage and early twenties customers. It
showed all these cool things you could win with Pepsi points.
They showed a kid wearing a Pepsi T shirt seventy
five Pepsi points. He was wearing a leather jacket that
(01:50):
was fourteen hundred and fifty points. He had sunglasses on
that were one hundred and seventy five points. They then
boasted the more Pepsi you drink, the more great stuff
you're going to get.
Speaker 3 (02:00):
Then it escalated.
Speaker 2 (02:05):
The commercial ends with that same kid who was wearing
the leather jacket and sunglasses landing a Harrier jet in
front of a school. Everyone's papers were blowing off of
their desks and kids were crowding to the window to
see the jet landing. And there in the courtyard is
a literal Harrier with.
Speaker 3 (02:21):
The kid in it.
Speaker 2 (02:22):
The jets armed the teeth, and below it it says
Harrier Fighter seven million Pepsi points. The campaign was mostly
a success, as sales increased significantly, but there would be
an interesting twist in this promotion. A twenty one year
old business student John Leonard saw the commercial and took
a particular interest in that jet. To get the harrier,
(02:44):
he would need to buy millions of pepsis. Most winning
pepsis only had one point on the label, some had
three to five, but there were no one million Pepsi
point bottles.
Speaker 3 (02:55):
But there was a workaround.
Speaker 2 (03:01):
John noticed the fine prints said you could buy points
to get the merchandise instead. Each point was ten cents, so,
for example, the fourteen hundred and fifty point jacket cost
one hundred and forty five dollars, the one hundred and
seventy five point sunglasses would cost seventeen dollars and fifty cents. Notably,
both items likely cost a fraction of that to make,
(03:23):
but it was good margins and smart business. What Pepsi
failed to notice was the margins on the harrier, which
wasn't listed in the catalog, but was advertised in the commercial.
John did some quick math and realized that the seven
million point harrier would cost seven hundred thousand dollars. Back
in the real world, a fresh harrier sells for north
of thirty million dollars. John Leonard found four investors who
(03:47):
all pitched in. He then sent the check for seven
hundred thousand dollars directly to Pepstine.
Speaker 3 (03:53):
His check said he wished.
Speaker 2 (03:54):
To redeem his points for the Harrier they'd advertise in
the commercial, and thus began a war of letters. Pepsi's
marketing team wrote back the item you've request it is
not part of the Pepsi Stuff collection. It is not
included in the catalog or in the order form. Only
catalog merchandise can be redeemed under this program. The Harrier
(04:16):
jet in the commercial is fanciful and is included simply
to create a humorous and entertaining ad. We apologize for
any misunderstanding or confusion that you may have experienced. We
are including some freak product coupons for your use. John
Leonard was not satisfied. His lawyer wrote a response, your
letter of May seventh, nineteen ninety six is totally unacceptable.
(04:36):
We have reviewed the videotape of the Pepsi Stuff commercial
and it clearly offers a new Harrier Jet for seven
million Pepsi points. Our client followed your rules explicitly. This
is a formal demand that you honor your commitment and
make immediate arrangements to transfer the new Harrier jet to
our client. If we do not receive transfer instructions within
ten business days of the date of this letter, you
(04:56):
will leave us with no choice but the file and
appropriate action against pet Pepsi's senior marketing executive, Raymond McGovern,
then jumped in with his own letter, I find it
hard to believe that you are of the opinion that
the Pepsi stuff commercial quote commercial really offers a new
Harrier jet. The use of the jet was clearly a
joke that was meant to make the commercial more humorous
(05:18):
and entertaining. In my opinion, no reasonable person would agree
with your analysis of the commercial. This is when formal
court cases started firing up. Quite comically, PEPSI had to
file an official case stating they shouldn't be required to
furnish a Harrier jet to John Leonard. For the next
three years, this case weaved through court systems before a
(05:39):
judge ruled in Pepsi's favor for two key reasons. One,
a commercial is not a contractual offer. Two, the commercial
was clearly tongue in cheek. No reasonable person would have
thought the offer was real. Lastly, and quite humorously, again,
the judge added this commentary. In light of the Harrier
jet's well documented function in attacking and destroying surface to
(06:00):
air targets, armed reconnaissance and air interdiction, and offensive and
defensive anti aircraft warfare, depiction of such a jet as
a way to get to school in the morning is
clearly not serious, even if the plaintiff contends the jet
can be delivered in a form that removes its military use.
Pepsi went on to amend it's commercial, changing seven million
points to seven hundred million points. They would also add
(06:22):
a small print to the advertisement, saying, just kidding, if
there's any silver lining to all this madness. The case
has now become a staple in law schools. A good
majority of legal students will end up studying Leonard versus PepsiCo, Inc.
As the case offers an entertaining look into the infinite
gray area of contract law. All that being said, a
(06:43):
small part of me still wishes they'd just given the
guy the Harrier or done something cool for him besides
offering a few couponts.
Speaker 1 (06:53):
And a great job by Monty Montgomery and just a
delight to listen to and in its own way, what
kind of prank I mean? I just wanted to suit
would happen. But the idea of wrangling together seven hundred
thousand dollars to just well stick it to PEPSI just
have some fun, and of course the court stuck it
right back to these folks. But they've always had this
(07:15):
story as a result, and a great lawcase, the story
of John Leonard and a suit against Pepsi for a
harrier jet. Here on our American Story.
Speaker 2 (07:31):
Folks.
Speaker 1 (07:31):
If you love the great American stories we tell and
love America like we do, we're asking you to become
a part of the Our American Stories family. If you
agree that America is a good and great country, please
make a donation. A monthly gift of seventeen dollars and
seventy six cents is fast becoming a favorite option for supporters.
Go to our American Stories dot com now and go
(07:52):
to the donate button and help us keep the great
American stories coming. That's our Americanstories dot Com.
Host
Lee Habeeb
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