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The U.S. attorney for the Western District of Missouri has announced that a Nevada company and its owners entered guilty pleas in federal court “to distributing a tainted ingredient used to make pet food, which resulted in a nationwide recall of pet food and the death and serious illness of countless pets across the United States in 2007.” Sally Qing Miller, her husband Stephen Miller and their company Chemnutra, Inc. reportedly pleaded guilty to some of the charges in a February 2008 indictment, admitting that “melamine was substituted wholly or in part for the protein requirement of the wheat gluten” they imported from China and distributed in the United States and Canada and that “the labeling of wheat gluten was false and misleading.” The Millers are apparently each subject to a sentence of up to two years in prison without parole, fines of up to $200,000 and an order of…

According to a news source, a Las Vegas-based company and its co-owners have agreed to plead guilty to charges that they imported from China melamine-tainted wheat gluten used to make the pet food that purportedly sickened and killed thousands of cats and dogs in the United States and Canada in 2007. More details about the criminal indictments appear in issue 247 of this Update. ChemNutra, Inc. and its co-owners, Stephen and Sally Miller, have apparently reached an agreement with federal prosecutors and will enter their pleas during a June 16, 2009, hearing. The export broker, a Chinese company, allegedly mislabeled 800 metric tons of wheat gluten to avoid inspection in China and did not properly declare the contaminated product when it was shipped to the United States for use in pet food. ChemNutra took delivery of the wheat gluten in Kansas City and then sold it to various pet food manufacturers.…

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…

A multidistrict litigation (MDL) court in New Jersey has entered an order approving the settlement of claims that pet food contaminated with melamine and cyanuric acid sickened and killed thousands of cats and dogs in the United States. In re Pet Food Prods. Liab. Litig., MDL No. 1950 (D.N.J., filed November 18, 2008). In its 65-page opinion, the court certified the class for settlement purposes and approved an award of $24 million to the plaintiffs and nearly $6.4 million in attorney’s fees. The court also denied a motion to intervene, overruled several objections and granted a motion to strike a separate motion for attorney’s fees. Pet owners will be eligible for documented economic damages, such as veterinary bills, cremation, burial services, costs of new pets, and healthy pet screenings. Claims without documentation will be paid up to a maximum of $900 for each claimant. If the claims exceed the available funds,…

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…

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