Melamine-Tainted Pet Food MDL Litigation Settles
A federal court in New Jersey has reportedly approved a $24 million settlement that resolves claims for contaminated pet food filed in 80 putative class actions against more than 60 companies. In re Pet Food Prods. Liab. Litig., MDL No. 1850 (D.N.J., settlement approved October 14, 2008). The claims, which had been consolidated for pretrial proceedings before a multidistrict litigation (MDL) court, arose out of the deaths and illnesses of cats and dogs that consumed pet food with wheat gluten which had been adulterated with melamine in China to boost its protein content.
The contamination led to a massive recall in March 2007. Apparently, more than 10,000 pet owners have filed claims; they will reportedly have until November 24, 2008, under the settlement’s terms to obtain up to $900 per animal, even without receipts for pet food or the costs of their pets’ illness and death. No sums will be paid for alleged human pain and suffering, and any remaining money will be contributed to animal-welfare charities. A judge in Canada will reportedly hold a hearing in November to determine if the settlement will be applied to similar claims filed in that country.
One of the law firms representing plaintiffs in several of the cases reportedly sought a share of attorney’s fees and costs before the settlement was finalized. Co-lead counsel countered the motion, contending that the settlement agreement calls for lead counsel to distribute the fees, which will not exceed 25 percent of the settlement proceeds. It is not known how the fee dispute was resolved, but the settlement’s approval likely put an end to any final objections. See Product Liability Law 360, October 9 and 14, 2008; Associated Press, October 14, 2008; Mealey’s Litigation Report: Food Liability, October 15, 2008.
