Court Rejects Spoliation Claim in Kellogg Recall Case

A Michigan federal court has denied a motion filed by FPC Flexible Packaging Corp. and The International Group, Inc. to dismiss evidence for spoliation in a case accusing the packaging company and the wax maker of providing Kellogg defective cereal liners, resulting in a $70 million recall. Kellogg Co. v. FPC Flexible Packaging Corp., No. 11-272 (U.S. Dist. Ct., W.D. Mich., S. Div., order entered August 12, 2014). Kellogg allegedly received several consumer complaints of unusual odors in its products, and the company said it obtained samples of products from two of the consumers. The cereal samples have since disappeared, but Kellogg preserved a piece of the plastic liner provided by one of the consumers. International and FPC argued that the loss of evidence could not have been accidental because Kellogg managed to keep the sample of the liner, but the court dismissed their arguments. “An appropriate jury instruction addressing the use of the lost consumer samples, if necessary, will be determined at trial,” the court said. Additional information on the lawsuit appears in Issue 387 of this Update.

Issue 534