Food & Beverage Litigation & Regulatory Update

Category: 8th Circuit

  • Plaintiff’s Failure to Define “Natural” Dooms Kettle Chip Labeling Suit

    A Missouri federal court has dismissed a lawsuit challenging the “all natural” labels of Cape Cod Chips because the plaintiff failed to provide a suitable definition of “natural.” Kelly v. Cape Cod Potato Chip Co., No. 14-119 (W.D. Mo., order entered January 27, 2015). The plaintiff alleged that 16 varieties of Cape Cod Chips were…

  • Insurer Sues to Avoid Coverage for Templeton Whiskey’s Alleged Mislabeling

    Society Insurance has filed a lawsuit in Iowa federal court seeking a declaration that its policy does not require it to defend or indemnify Templeton Rye Spirits in a putative consumer class action alleging that the whiskey distiller falsely represented its products as made from a Prohibition-era recipe. Soc’y Ins. v. Templeton Rye Spirits LLC, No.…

  • Operations Manager of Halal Co. Midamar Pleads Guilty

    Philip Payne, the former operations manager of Halal-food company Midamar Corp., has pled guilty to a charge of conspiracy to make and deliver false certificates and writings stemming from Midamar’s export of beef to Indonesia and Malaysia purportedly prepared in accordance with Islamic law. U.S. v. Payne, No. 14-cr-0143 (N.D. Iowa, request for approval filed January…

  • Eighth Circuit Says Likelihood of MSG to Cause Harm Is Factual Matter

    In a dispute over commercial liability insurance coverage, the Eighth Circuit Court of Appeals has ruled that a trial court erred in deciding, as a matter of law, that a recall of sausage breakfast sandwiches prompted by contamination with monosodium glutamate (MSG) was a covered incident. Hot Stuff Foods, LLC v. Houston Cas. Co., Nos. 14-1192,…

  • Missouri Court Allows Tainted Cantaloupe Claims Against Safety-Audit Firm

    A federal court in Missouri has denied the motion to dismiss filed by a food-safety company responsible for auditing conditions at the Jensen Farms cantaloupe facility some six weeks before the U.S. Food and Drug Administration inspected the farm and found the Listeria strains associated with a nationwide outbreak that allegedly sickened the plaintiff. West…

  • Burger Chain Settles FACTA Class Action for $2.7 Million

    Back Yard Burgers of Nebraska, Inc. has agreed to settle claims that it violated the Fair and Accurate Credit Transactions Act (FACTA) by allegedly using the last five digits of customer credit-card numbers on its older receipts, instead of the last four digits. Keith v. Back Yard Burgers of Neb., Inc., No. 11-0135 (D. Neb.,…

  • Putative Class Actions Accuse Whole Foods and Breyers of “All Natural” Mislabeling

    According to a putative class action removed to Arkansas federal court, Whole Foods mislabels several of its 365 Everyday Value brand products as “organic” or “all natural” despite containing synthetic ingredients. Stafford v. Whole Foods Market Cal., No. 14-420 (E.D. Ark., removed July 22, 2014). Originally filed in Arkansas state court in June, the complaint accuses…

  • Quality Egg to Pay $6.8 Million Fine in Salmonella Outbreak

    As anticipated, Quality Egg LLC and its former owners, Austin “Jack” DeCoster and his son Peter, have entered guilty pleas to charges of introducing adulterated food into interstate commerce. Additional information about the plea agreement appears in Issue 524 of this Update. They admitted that the company’s shell eggs, shipped to buyers in states throughout the…