ConAgra Foods, Inc. has reportedly filed a lawsuit against its umbrella insurer, seeking coverage for the claims that were filed by people who alleged injury from a Salmonella outbreak in 2007 linked to the company’s Sylvester, Georgia, peanut butter processing facility. ConAgra Foods, Inc. v. Lexington Ins. Co., No. 09C-02-170 (Del. Super Ct., New Castle Cty., filed February 19, 2009). The complaint alleges that Lexington Insurance Co. has failed to pay for any of the 2,400 claims settled or resolved to date. ConAgra reportedly anticipates an additional 20,000 cases from the outbreak. According to a news source, the company is seeking a declaratory judgment, compensatory and punitive damages, interest, and attorney’s fees. See Product Liability Law 360, February 24, 2009.
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The Peanut Corp. of America, whose Salmonella-tainted peanut butter and peanut paste products led to one of the largest food recalls in the United States, has reportedly filed for Chapter 7 bankruptcy protection in Virginia. The day it did so, Texas health officials apparently announced a recall of all products manufactured at the company’s peanut-processing facility in that state after discovering dead rodents, droppings and bird feathers in unsealed gaps above a food production area. A Virginia plant operated by the company has also been closed. A state agriculture spokesperson reportedly said that inspectors found minor problems at the facility in 2007 and 2008, including flaking paint and evidence of rodents. Food lawyer William Marler, who has sued the company on behalf of several families allegedly affected by the Salmonella outbreak, claimed that he has hired a law firm that helped him “manage both the Chi-Chi and Topps Bankruptcies,” and…
A subcommittee of the House Energy and Commerce Committee conducted a hearing February 11, 2009, to hear from victims, regulators and the individuals who own and operate the Georgia peanut processing facility responsible for the latest Salmonella outbreak. Titled, “The Salmonella Outbreak: The Continued Failure to Protect the Food Supply,” the hearing gave congressmen the opportunity to question Stewart Parnell who owns the Peanut Corp. of America (PCA) about the company’s practice of shipping contaminated product to food processors even after it had tested positive for Salmonella. Parnell and the man who managed the plant invoked their Fifth Amendment privilege and refused to answer questions, including whether they would eat the recalled products, which now number in excess of 1,800 items. The outbreak has reportedly sickened more than 600 in the United States and Canada, led to a suspected nine deaths and launched at least four personal injury lawsuits to date.…
Food litigator William Marler has reportedly filed an amended complaint on behalf of a Vermont couple whose son was allegedly sickened and hospitalized following ingestion of a product containing Salmonella-tainted peanut butter. Meunier v. Peanut Corp. of Am., No. 09-12 (M.D. Ga., first amended complaint filed January 28, 2009). The plaintiffs are now seeking punitive damages for “willful concealment of known defects.” The amendment follows the release of a Food and Drug Administration (FDA) inspection report showing that the Peanut Corp. of America (PCA) shipped products that tested positive for Salmonella after the company had the products retested and received negative test results. Marler was quoted as saying, “In 15 years of litigating food cases, this is one of the worst examples of corporate irresponsibility I have ever seen. Not only does the plant appear to have atrocious practices, but the product that seems to have repeatedly tested positive for Salmonella was shipped…
A number of bills have already been introduced in the new Congress to overhaul the food safety system in the United States. Driven by concerns that current laws are not providing adequate protection for consumers, House members and Senators have proposed the following measures: H.R. 185 – Introduced January 6, 2009, by Representative José Serrano (D-N.Y.), this bill would require that consumers be notified if food products are made with crops, livestock or poultry raised on land to which sewage sludge was applied. Referred to the House Committee on Energy and Commerce and the Committee on Agriculture. H.R. 759 – Introduced January 18, 2009, by Representative John Dingell (D-Mich.), this bill would require fees for facility registration, verification that food plants are operating under an HACCP plan, HHS guidance or regulations to establish science-based standards for conducting hazard analysis and implementing preventive controls, HHS biannual review of data to identify…
Food litigator William Marler has filed a second lawsuit against the Peanut Corp. of America (PCA) on behalf of a California family whose 3-year-old son allegedly fell ill and was hospitalized after eating Salmonella-contaminated peanut butter cracker sandwiches made with a PCA peanut butter product. Trone v. Peanut Corp. of Am., No. 09-418 (N.D. Cal., filed January 28, 2009). The outbreak, which has reportedly sickened more than 500 people across the United States and contributed to eight deaths, has led to one of the largest food recalls in the nation’s history. PCA expanded its recall from peanut butter and peanut paste to all peanuts and peanut products, including whole peanuts (dried, roasted or raw), granulated peanuts and peanut meal, processed in its Blakely, Georgia, facility since January 1, 2007. According to the PCA recall notice, the company sold its recalled products to institutions, food service industries and private label food companies in…
With hundreds of foods containing potentially contaminated peanut butter being recalled daily, plaintiffs’ lawyers across the nation have begun to file claims against producers, suppliers, retailers, and others in the supply chain. Food claims lawyer William Marler has reportedly brought an action against the Virginia-based Peanut Corp. of America on behalf of Vermont residents Gabrielle and Daryl Meunier whose 7-year-old son was among the nearly 500 people purportedly sickened by the Salmonella typhimurium traced to a Peanut Corp. processing plant in Georgia. According to a news source, the Meunier’s son spent six days in the hospital after consuming cheese and peanut butter crackers. A Minnesota-based food safety lawyer reportedly plans to file a claim against Peanut Corp. and its distributor, King Nut Companies, on behalf of the family of a 72-year-old woman who allegedly died in December 2008 after eating Salmonella-contaminated peanut butter served at a long-term care facility in Minnesota. In…
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…
