Category: 3rd Circuit
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Insurance Policy Ambiguous; Broad Coverage Could Be Available for Tainted Peanut Butter Claims
A divided Delaware Supreme Court has determined that ConAgra’s insurance 0contract is ambiguous and therefore might provide broader coverage, with a lower “retained limit” or deductible, for claims arising out of an alleged Salmonella outbreak involving the company’s peanut butter. ConAgra Foods, Inc. v. Lexington Ins. Co., No. 227, 2010 (Del., decided April 28, 2011). The court…
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Court Pares Soup Labeling Claims Litigation
A federal court in New Jersey has granted in part the motion to dismiss filed by the Campbell Soup Co. in litigation alleging that consumers were misled by the company’s lower-sodium labels, believing they were a healthier alternative to regular soups, which allegedly contain about the same levels of sodium as the more expensive low-sodium…
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Class Action Challenging “All Natural” Designation for Ice Cream Transferred
Relying on the first-to-file rule, a federal court in New Jersey has transferred a putative class action alleging false advertising for a Breyers ice cream product to a federal court in California that is considering similar litigation. Catanese v. Unilever d/b/a/ Breyers, No. 10-5755 (D.N.J., decided March 28, 2011). The plaintiffs in a number of cases…
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Caffeinated Alcoholic Drink Allegedly Caused Man’s Heart Arrhythmia
According to news sources, a New Jersey tire salesman has filed a personal injury lawsuit in a state court against the company that makes Four Loko®, an alcoholic beverage that until late 2010 also contained caffeine; he alleges that after drinking two and one-half cans, he was taken to a hospital with heart arrhythmia. Mustica…
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Recalled Ground Red Pepper Sparks Litigation Between Spice Companies
Adams Extract & Spice has sued Van de Vries Spice Corp. in a New Jersey federal court alleging damages in excess of $75,000 due to a 2009 spice recall involving ground red pepper allegedly contaminated with Salmonella. Adams Extract & Spice, LLC v. Van de Vries Spice Corp., No. 11-00720 (D.N.J., filed February 8, 2011).…
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Court Dismisses Class Action over Salt in Denny’s Menu Items
A New Jersey appellate court has dismissed the second amended complaint in a putative class action filed by a man who claims that Denny’s meals contain excessive undisclosed levels of sodium in violation of the state’s Consumer Fraud Act. DeBenedetto v. Denny’s, Inc., No. A-4135-09T1 (N.J. Super. Ct. App. Div., decided January 11, 2011). The…
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Cases Recently Decided—Exploding Snails, State Alcohol Beverage Laws, E. ColiTainted Meat Outbreak
According to a news source, a small claims court in California has exonerated two seafood restaurant supervisors for alleged negligence in the case of the exploding escargot. More details about the case appear in Issue 373 of this Update. In a two-page ruling, the court apparently determined, “There was absolutely no evidence whatsoever on what caused…