Former Rancho Feeding Operations co-owner Robert Singleton has agreed to plead guilty to one count of aiding and abetting the distribution of condemned and diseased cattle in violation of the Federal Meat Inspection Act and will testify against the other owner of the now-defunct slaughterhouse operation and its employees. United States v. Singleton, No. 14-cr-441 (N.D. Cal., entered August 22, 2014). Additional details about the criminal allegations appear in Issue 535 of this Update. As part of the agreement, Singleton, who is 77, will cooperate with the U.S. attorney’s office, surrender any assets acquired as a result of the alleged illegal conduct, and permanently cease and desist from owning, operating or managing a meat-processing facility or slaughterhouse. The agreement contains admissions as to all of the conduct alleged in the information filed against Singleton, including instructing employees to swap the heads of healthy cattle for those of diseased cattle before…
Category Archives Litigation
According to a news source, a 600-pound man, who worked as a Hometown Buffet restaurant manager, has filed a lawsuit under the Americans with Disabilities Act against OCB Restaurant Co. in a Connecticut federal court, alleging that he was fired and replaced with a worker who “is not morbidly obese and does not suffer from chronic knee pain.” Flanders v. OCB Restaurant Co., LLC, No. 14-1239 (D. Conn., filed August 27, 2014). See Courthouse News Service, August 28, 2014. Issue 536
A fast-food worker in Oregon has reportedly sued her former employer, seeking $242,000 in damages on the ground that she was discharged because she became pregnant, after being told by general managers during a staff meeting that workers such as the plaintiff were not allowed to become pregnant because “they needed to be present and available at any time in order to perform their duties.” Melesio-Rojas v. Si-Pac Foods d/b/a Del Taco Gresham, No. n/a (Multnomah Cty. Cir. Ct., unknown filing date). According to a news source, the plaintiff claims that she was fired when she became noticeably pregnant after a customer complained that he did not receive all of his food, a reason she claims was “an excuse to terminate her because of her pregnancy.” The restaurant’s attorney has apparently indicated that the worker’s pregnancy-discrimination complaint with the Oregon Bureau of Labor and Industries lacked sufficient evidence to support…
Hershey Co. has filed a complaint in Pennsylvania federal court alleging that LLB Imports infringes its trademarks and trade dress for several of its products, including Reese’s, York, Cadbury, Malteser, Kit Kat, and Rolo. Hershey Co. v. LLB Imports LLC, No. 14-1655 (M.D. Penn., filed August 25, 2014). According to the complaint, LLB Imports has been selling Toffee Crisp, Yorkie, Maltesers, Cadbury, Kit Kat, and Rolo products manufactured outside of the United States bearing nutritional information panels required by other countries, and the sale of the products allegedly infringes trademarks and trade dress owned by or exclusively licensed to Hershey. In addition to several trademark infringement claims, the candy company alleges that Toffee Crisp infringes the trade dress for Reese’s, citing its shade of orange and outlined yellow script, as well as the trade dress of Cadbury, Kit Kat and Rolo. Hershey asks for an injunction, a declaration that LLB violated the…
A New York federal court has allowed Lanham Act claims for the Stolichnaya trademark to proceed in a long-running case between a Russian state-chartered company and several international beverage companies. Fed. Treasury Enter. Sojuzplodoimport v. SPI Spirits Ltd., No. 14-712 (U.S. Dist. Ct., S.D.N.Y., order entered August 25, 2014). Federal Treasury Enterprise Sojuzplodoimport (FTE), owned by the Russian Federation, alleges that it owns the Stolichnaya trademarks, but SPI Spirits purports to be the private successor to the state-owned company that owned the trademarks before the Soviet Union dissolved and several public entities became private companies. The Second Circuit previously held that FTE lacked standing because it was neither an assign nor legal representative under the Lanham Act. Since that ruling, the Russian Federation assigned its rights to the Stolichnaya trademark to FTE, and the New York federal court has found that the assignment cures FTE’s previous lack of standing issue.…
The Ninth Circuit Court of Appeals has denied a request for interlocutory review of a class certification ruling in an action alleging that Blue Diamond Growers’ almond milk is mislabeled as “All Natural” and the company hides its added sugar content by listing “evaporated cane juice” (ECJ) on its label instead. Blue Diamond Growers v. Werdebaugh, No. 14-80084 (9th Cir., order entered August 22, 2014). Additional details about the suit appear in Issue 525 of this Update. Blue Diamond challenged the district court’s ruling that the class was ascertainable, arguing that the decision “exacerbates a split of authority amongst district courts in this Circuit over the threshold showing that putative class representatives must make to demonstrate an ascertainable class in food mislabeling cases. The Third Circuit Court of Appeals—the only circuit to squarely resolve the issue—holds that sales records or other reliable evidence of product purchases must be available for a…
A district court erred in denying class certification and granting summary judgment to Sturm Foods and its parent company Treehouse Foods in a putative class action accusing the coffee manufacturer of misleading consumers to believe its Keurig-compatible coffee pods contained high-quality coffee rather than low-quality instant coffee, the Seventh Circuit Court of Appeals has decided. Suchanek v. Sturm Foods, Inc., No. 13-3843 (7th Cir., order entered August 22, 2014). The court found that the district court’s reasoning for denying class certification would make consumer class actions nearly impossible. Combined from four separate consumer protection lawsuits, the case centers on Sturm’s Grove Square Coffee (GSC) pods. The Keurig K-Cup typically contains ground coffee beans and a filter system, but the filter technology was protected by a patent until 2012. In 2010, Sturm began manufacturing pods that could be used in Keurig brewers, but to avoid infringing the patent, the company apparently…
Two residents of Berkeley, California, have filed a lawsuit in state court alleging that the proposed 1-cent-per-ounce soda tax, which will appear on the ballot in November, uses “politically charged” language and affects beverages beyond the targeted “high-calorie, sugary drinks.” Johnson v. Numainville, No. RG14786763 (Cal. Super. Ct., Alameda Cty., filed August 13, 2014). The complaint accuses the city council of failing to define the term “high calorie, sugary drink,” and suggests “sugar-sweetened beverage” instead. The plaintiffs also argue that the tax would apply to “any beverage intended for human consumption to which one or more added caloric sweeteners has been added and that contains at least 2 calories per fluid ounce,” despite that under U.S. Food and Drug Administration guidelines, a 12-ounce, 24 calorie drink would actually be considered low calorie. They request that the court order the city council to insert their suggested phrases for the allegedly biased…
Attorneys representing the former Peanut Corp. of America owner and employees charged with conspiracy, mail and wire fraud, obstruction of justice and other counts involving the distribution of adulterated or misbranded food that allegedly led to a deadly Salmonella outbreak, had their opportunity on August 19, 2014, to cross-examine the company’s Blakely, Georgia, plant manager, Samuel Lightsey, who has been testifying as a government witness. United States v. Parnell, No. 13-cr-12 (M.D. Ga., Albany Div., filed February 15, 2013). Among other matters, the attorneys reportedly focused on the plea deal Lightsey struck with prosecutors; he was facing more than 30 years in prison, but could serve no more than six or go free if he substantially helps prosecute others. They also sought to show that (i) former owner Stewart Parnell was concerned about safety, (ii) Lightsey was responsible for plant safety, (iii) extensive retesting of samples positive for Salmonella came…
The parties to a putative class action against Merisant Co. and Whole Earth Sweetener Co. have agreed on settlement terms, including changes to the Pure Via sweetener’s website and packaging, class certification and a $1.65- million payment to a settlement fund. Aguiar v. Merisant Co., No. 14-670 (C.D. Cal., motion filed August 18, 2014). The plaintiff had alleged that Merisant and Whole Earth label, advertise and market Pure Via products as natural, which she argued was false and deceptive. Under the terms of the proposed settlement, Merisant and Whole Earth agreed to add an asterisk to Pure Via packaging with a statement that directs consumers to the product website, which will explain the process of producing Pure Via from stevia to provide consumers with “significant information to make their own determination as to whether they deem Pure Via to be ‘natural.’” In addition, Merisant and Whole Earth have agreed to…
