Lactose intolerance caused by the reduced β-galactosidase enzyme activity has been found to affect a significant portion of the global population. Traditional management involves lactose avoidance using plant-based diets; however, emerging dietary solutions focus on creating lactose-free dairy products offering a means to obtain vital milk-derived nutrients. The chapter highlights the nutritional implications of avoiding lactose consumption in lactose intolerant individuals by switching to plant-based products instead of lactose-free milk products. It underscores the risk of nutritional deficiencies associated with the exclusion of dairy from diet and also focus on regulatory standards and labeling criteria for lactose-free milk and milk products. The potential confusion in product labeling and lack of uniformity in addressing health claims by regulatory agencies has also been addressed.