Among the first official acts of the Obama administration was a directive from White House Chief of Staff Rahm Emanuel to all federal departments and agencies not to finalize any pending rule and to extend final-rule effective dates for 60 days. According to a news source, the block affects a Department of Agriculture rule that established requirements for country-of-origin labeling (COOL) on meat and other perishable foods. A regulatory analyst for a Washington-based government watchdog group reportedly observed that the freeze would “give USDA an opportunity to tighten up the rule.” Critics have apparently said that the Bush rule could weaken distinctions between U.S. and imported meats by allowing domestic facilities that process domestic and imported animals to carry a multi-country label. See Bloomberg.com, January 21, 2009.
The Grocery Manufactures Association has announced its 2009 Consumer Complaints Conference, Modern Management of Consumer Complaints: Unlocking the Secrets of Great Service, slated for May 6-8, 2009, in New Orleans, Louisiana. SHB Partner Paul La Scala will present a May 7 session on “Electronic Document Preparation, Management and Retention in the Claims Process.”
Hundreds of parents of children sickened in China by melamine-contaminated milk products have reportedly rejected the government-sanctioned compensation offer, which would have provided about US$29,000 to families that lost a child and US$4,380 for each child with serious kidney damage. The parents, who are gathering signatures in support of their demands, will instead seek long-term health care for those affected and research into the health effects that purportedly continue to afflict tens of thousands of children. They also apparently complain that the offer provides nothing for children older than age 3 and will not provide assistance to the dozens of families facing significant hospital bills. Zhao Lianhai, whose 4-year-old son was sickened, reportedly said in an interview, “Our biggest demand is not the compensation but medical treatment and academic research on the influence that melamine will have on the health of our children. We want to know what kinds of…
While a federal district court approved the settlement of class claims that melamine-tainted dog and cat food sickened and/or killed tens of thousands of pets in the United States, the pet owners who were expecting compensation in 2009 will apparently have to await the outcome of two separate appeals filed in December 2008. According to the claims administrator’s Web site, “No payments will be made on eligible claims until all appeals are resolved. It is uncertain how long these appeals will take to resolve, and the timing of resolving the appeals is not within the control of the parties or their counsel. It is not uncommon for appeals to take several months or even years to resolve.” As noted in issues 275 and 283 of this Update, those dissatisfied with the settlement have claimed that (i) it will foreclose their ability to recover for their separate claims that pet food…
The Federal Trade Commission (FTC), continuing to challenge the merger of Whole Foods Market, Inc. with Wild Oats Markets, Inc, has reportedly indicated in court filings that it will seek a court order requiring Whole Foods to rename the Wild Oats stores that were changed into Whole Foods stores and rebrand them as Wild Oats. The FTC also apparently said that a trustee should be appointed to separately manage Wild Oats assets to preserve the status quo in the organic foods market until all legal proceedings have concluded. The $565 million merger has been completed, but the FTC convinced an appeals court in 2008 to allow the administrative antitrust proceedings to resume. Responding to the latest filing, Whole Foods reportedly stated, “Not only have they found us guilty before the final evidence is in, now they want to impose a burdensome remedy even before the first word of final evidence…
The U.S. Supreme Court has denied a petition seeking review of a California Supreme Court ruling that allowed plaintiffs to pursue putative class claims alleging that grocery stores failed to inform California consumers about the artificial coloring used in the farm-raised salmon they sold. Albertson’s Inc. v. Kanter, No. 07-1327 (U.S., certiorari denied January 12, 2009). The retailers had asked the Court to find the claims preempted by the Food, Drug, and Cosmetic Act. The case should now proceed to trial. Food and Drug Administration regulations allow salmon farmers to augment the normally grayish pigment of farm-raised fish with chemicals, but also require that the use of coloring be indicated on product labels. Federal law does not allow individuals to enforce the law through litigation, but it does not, according to attorneys involved in the case, bar civil lawsuits for violations of state law. The litigation was brought on both federal and…
The NNCO has announced that a public forum will be held in Bethesda, Maryland, February 24-25, 2009, “to discuss the state-of-the-art of the science related to environmental, health, and safety aspects of engineered nanoscale materials in the area of human and environmental exposure assessment.” Workshop participants will also “discuss the path forward for addressing research needs in this area.” According to the notice, priority research needs that have been identified include (i) “characterizing exposure among workers,” (ii) “characterizing exposure to the general population from industrial processes and industrial and consumer products containing nanomaterials,” and (iii) “characterizing the health of exposed populations and environments.” NNCO has indicated that the information provided during the forum will be used to manage the National Nanotechnology Initiative’s environmental, health and safety research strategy. See Federal Register, January 15, 2009. Meanwhile, the Environmental Protection Agency’s Office of Pollution Prevention and Toxics (OPPT) has issued an interim report…
USDA this week issued a final rule for its mandatory country-of-origin labeling (COOL) program, which applies to beef, pork, lamb, chicken, goat meat, wild and farm-raised fish and shellfish, perishable agricultural commodities, peanuts, pecans, ginseng, and macadamia nuts. USDA had previously published an interim final rule in advance of a September 30, 2008, implementation deadline to incorporate changes required by the 2008 Farm Bill, including the addition of several agricultural commodities. Effective March 16, 2009, the final rule takes into account public comments on the interim version. In particular, the rule clarifies USDA’s position on multiple countries of origin labeling and eliminates allowances for commodities of U.S. origin to retain this designation if processed or handled in foreign countries. The final rule also upholds a provision criticized by the Ranchers-Cattlemen Legal Fund (RCALF) that excludes processed food ingredients from COOL regulations. “Publication of the final rule may alleviate some of…
The U.S. Centers for Disease Control and Prevention (CDC) and Food and Drug Administration (FDA) are reportedly investigating a Salmonella typhimurium outbreak implicating King Nut and Parnell’s Pride brand peanut butters manufactured by the Peanut Corporation of America (Peanut Corp.) and sold to non-retail food establishments. Health departments have purportedly linked the outbreak to more than 400 illnesses and possibly five fatalities, prompting Peanut Corp. to issue a voluntary recall for 21 lots of peanut butter produced since July 1, 2008, at its Blakely, Georgia, facility. In addition, Kellogg Co. has since issued recalls for its Austin and Keebler brand peanut butter crackers as a precautionary measure. See King Nut Press Release, January 12, 2009; Law 360 and Health Day Reporter, January 13, 2009; Kellogg Co. Press Release, January 14, 2009; The Associated Press and The Wall Street Journal, January 15, 2009. Meanwhile, plaintiffs’ lawyers have apparently cited the incident in urging stricter…
USDA’s Food Safety and Inspection Service (FSIS) has published a notice soliciting nominations for membership on a national advisory committee that addresses meat and poultry inspection issues. Names and curriculum vitae must be postmarked no later than January 23, 2009. FSIS is seeking a diverse membership drawn from industry, academia, state and local government officials, public health organizations, and consumers and consumer organizations. The committee “provides advice and recommendations to the Secretary on meat and poultry inspection programs.” See Federal Register, December 24, 2008.
