The Judicial Panel on Multidistrict Litigation (JPML) has granted the defendants’ motion for centralization in litigation involving allegations that Subway Sandwich Shops, Inc., and Doctor’s Associates, Inc., “engaged in a false or misleading advertising campaign regarding the size of the Subway Footlong sandwich.” In Re: Subway Footlong Sandwich Mktg. & Sales Practices Litig., MDL No. 2439 (JPML, decided June 10, 2013). According to the order, the seven actions addressed by JPML involve common factual questions, with plaintiffs alleging “that defendants have uniform standards and practices with respect to the manufacturing process and franchisee training which result in the actual length of the sandwich being materially shorter than advertised in violation of state consumer protection laws.” JPML has therefore chosen to centralize the actions in the U.S. District Court for the Eastern District of Wisconsin, which provides “a geographically central forum for this nationwide litigation, and will be convenient and accessible for…
Tag Archives Wisconsin
A federal court in Wisconsin has dismissed as preempted a putative class action alleging that the company which makes Sue Bee Clover Honey® violates a state honey-labeling standard by failing to disclose that the product does not contain bee pollen. Regan v. Sioux Honey Ass’n Coop., No. 12-758 (E.D. Wis., decided January 31, 2013). The court also dismissed an unjust enrichment claim and a cause of action based on an alleged violation of the Food, Drug, and Cosmetic Act (FDCA). According to the court, the Wisconsin honey standard is based on a Codex Alimentarius provision that prohibits the removal of pollen from honey “except where this is unavoidable in the removal of foreign inorganic or organic matter.” Because federal law has no standard of identity for honey, under the Nutrition Labeling and Education Act (NLEA), the label must therefore bear the “common or usual name” of a food contained therein. The…
A New York resident has filed a putative class action against Diamond Pet Foods and Amazon.com, seeking medical monitoring for pets that consumed recalled Salmonella-tainted pet food. Cohen v. Schell & Kampeter, Inc., d/b/a Diamond Pet Foods, No. 12-3299 (E.D.N.Y., filed July 2, 2012). Plaintiff Steven Cohen alleges that he fed his dogs Taste of the Wild® brand pet food, purchased from Amazon.com, and that they became ill, vomiting frequently, “which caused damage to Plaintiff’s property.” Seeking to certify a nationwide class and statewide subclass of consumers, the plaintiff alleges breach of implied and express warranty, strict products liability, violations of state consumer fraud laws, negligence, and unjust enrichment. In addition to medical monitoring, the plaintiff seeks actual damages or restitution, attorney’s fees, costs, and interest. A Canadian non-profit representing the interests of foie gras producers, a New York-based foie gras producer and a company that operates restaurants in California have…
The Wisconsin Supreme Court has decided which of the parties sued over an E. coli outbreak that sickened dozens of Sizzler Steak House patrons in 2000 and caused the death of a 3-year-old are liable for consequential damages, indemnity and costs under various supply chain and insurance contracts. Kriefall v. Sizzler USA Franchise, Inc., Nos. 2009AP1212 & 2010AP491 (Wis., decided June 29, 2012). Among other matters, the court ruled that Sizzler was entitled to (i) recover consequential damages for the meat supplier’s breach of implied warranties despite limiting language in the continuing guaranty provision of their contract, and (ii) indemnity from the meat supplier for Sizzler’s advance partial payment to the family of the deceased child “because the payment was not voluntary and the jury found that Sizzler was zero percent liable for the E. coli contamination.” The court also ruled that Sizzler could not recover its attorney’s fees despite a jury finding…
Sixty-five legal migrant workers from Mexico have filed a putative class action against GLK Foods, LLC in a federal court in Wisconsin, seeking to recover wages and damages for breach of contract, including the cost of transportation if the workers were terminated before the end of their certified period of employment. Jiminez v. GLK Foods LLC, No. 12-209 (E.D. Wis., filed February 29, 2012). The action was brought under the Migrant and Seasonal Agricultural Worker Protection Act, Fair Labor Standards Act, Wisconsin Migrant Labor Act, and Wisconsin Wage Payments, Claims and Collections Act. The workers were allegedly recruited from Mexico and employed in the United States in the defendant’s sauerkraut cannery under the H-2B temporary foreign worker visa program over a period of five years beginning in 2006. They claim that employers seeking to hire H-2B workers, where sufficient domestic workers are unavailable to perform the job, must file an application…
Spike, LLC, a company that makes and distributes energy drinks, has filed a lawsuit against the company it hired to destroy 18 pallets of products that Spike determined should be removed from the marketplace as unfit for sale, claiming that the recycling company failed to destroy the products and, in fact, sold them “thereby undercutting Spike’s sales.” Spike, LLC v. Nationwide Recycling, LLC, No. 12CV00111 (Wis. Cir. Ct., Waukesha Cty., filed January 10, 2012). Seeking compensatory and treble damages, attorney’s fees, and interest, the plaintiff alleges conspiracy; breach of contract; property loss through fraudulent misrepresentation; misrepresentation: intentional deceit; misrepresentation: strict responsibility; misrepresentation: negligence; and conversion. According to the complaint, Spike paid the company $10,000 to destroy 13,617 cases of energy drink products, which had a value of about $900,000.
Brandeis University has filed suit against a number of cookie and biscuit manufacturers, including Keebler Co., Famous Amos Chocolate Chip and The Pillsbury Co., alleging that they have infringed patents that adjust the LDL/HDL ratio in human serum by balancing saturated and polyunsaturated dietary fatty acids. Brandeis Univ. v. East Side Ovens, Inc., No. 11-619 (W.D. Wis., filed September 7, 2011). According to the complaint, the patents (‘497 and ‘192) were issued in 1998 and 2003 and “are directed to fats and fat blends that decrease low-density lipoprotein cholesterol (LDL) and increase high-density lipoprotein cholesterol (HDL) in human serum,” resulting “in significant health benefits.” The university alleges that the defendants’ cookie, cookie dough, and reduced fat biscuit and crescent roll products infringe its patents. The plaintiff seeks injunctive relief, damages, costs, and a “declaration that this is an exceptional case and an award of attorneys’ fees.
The Department of Justice recently took action against seafood producers in Wisconsin and Alabama for products that were either processed in plants lacking Hazard Analysis and Critical Control Point (HACCP) plans or misbranded. In Wisconsin, a U.S. attorney filed a complaint to seize a variety of breaded seafood products in the possession of Soderholm Wholesale Foods, Inc. and Fellerson, Inc. and sold under the “Seaside” label. United States v. “Seaside” Breaded Cod Fillets, No. 11-277 (W.D. Wis., filed April 18, 2011). According to the complaint, these products are adulterated “in that they have been prepared, packed, or held under insanitary conditions whereby they may have been rendered injurious to health.” Investigations in 2010 allegedly revealed that the companies did not have a written HACCP plan and failed to adopt one after warning. Meanwhile, seafood wholesalers Karen Blyth and David Phelps have reportedly been sentenced in an Alabama federal court to 33…
A Wisconsin organic farm was reportedly scheduled to argue in court this week that state restrictions on the sale of raw milk do not apply where the sales are made to consumers who are part owners of the farm. While the legislature recently attempted to change a law that regulators contend allows incidental raw milk sales only, the state calls the farm’s sales in excess of $80,000 yearly to consumers, who each own a $10 share in the farm, well beyond what the law allows. Wisconsin’s governor vetoed the popular bill, which would have allowed on farm raw milk sales, apparently concerned that E. coli outbreaks purportedly linked to consumption of the unpasteurized product could affect the state’s entire dairy industry. Raw milk proponents dispute that any such link exists. Meanwhile, public health officials investigating a recent E. coli outbreak that has allegedly sickened eight Minnesota residents including school-aged children…
Wisconsin Governor Jim Doyle (D) has reportedly vetoed a proposal (S.B. 434) that would have allowed farmers to sell unpasteurized milk and milk products directly to consumers. Doyle indicated in April 2010 that he would likely sign the bill, but ultimately decided that the potential health risks of consuming raw milk outweighed its alleged benefits. “I recognize that there are strong feelings on both sides of this matter, but on balance, I must side with the interests of public health and the safety of the dairy industry,” he said in his May 19 veto message. He added that an expert task force will stay abreast of the issue to “make certain that the concerns and interests on all sides are fully analyzed.” Raw-milk opponents like plaintiffs’ lawyer Bill Marler assert that sales of the unpasteurized products could lead to bacterial contamination outbreaks while advocates reportedly contend that unprocessed milk contains…
