Blog Archives

7th Circuit: Nothing “Loko” About Denying Defense Based on Liquor Liability Exclusion

In Netherlands Insurance Company v. Phusion Projects, the Seventh Circuit Court of Appeals ruled that the insurer of the makers of Four Loko has no duty to defend it in lawsuits alleging the alcoholic beverage caused serious injury and death. 

Posted in Duty to Defend, Food and Drug Administration, Food Manufacturer, Food Safety, Insurance Coverage, Liability Policy, Liquor Liability Exclusion, Policy Exclusions, Public Health

Michigan Appeals Court Rules Against Coverage for Uncontaminated but Seized Cheese

A Michigan appellate court recently ruled that a commercial property insurer properly denied coverage for the cost of cheese seized by the government that could not be returned to market.  In this unpublished opinion, the three-judge panel upheld the trial

Posted in Acts or Decisions Exclusion, Commercial Property Insurance, Contamination, Food Manufacturer, Food Recall, Food Safety, Governmental Action Exclusion, Insurance Coverage, Listeria, Loss of Market Exclusion

Seeking Contribution for Coverage Costs Associated with Historic 2011 Listeria Outbreak

Continental Western Insurance Company (“CWIC”) recently filed suit against Colony Insurance Company in Colorado federal court seeking declaratory relief and contribution for Colony’s alleged failure to share in defense and indemnity costs in connection with the deadly 2011 listeria outbreak. 

Posted in Contamination, Contribution, Duty to Defend, Duty to Idemnify, Food Recall, Food Safety, Insurance Coverage, Liability Policy, Listeria, Occurrence, Trigger of Coverage

The Not So Surprising PCA Indictment

Federal authorities have brought felony charges against former Peanut Corporation of America officials for their role with the fatal 2009 Salmonella outbreak that sickened over 700 and killed 9.  Although this prosecution may be the most significant of its kind

Posted in Contamination, Drug and Cosmetic Act, Food, Food and Drug Administration, Food Manufacturer, Food Recall, Food Safety, Fraud, Salmonella

Minnesota’s “Impairment of Function and Value” Test Determines Whether Recalled Food Constitutes Property Damage

We often associate food recalls with harmful and contaminated products but manufacturers actually issue recalls for a variety of reasons.  Companies sometimes issue recalls because of suspected, but not confirmed, contamination or other quality control issues.  Other times, they issue

Posted in "Impaired Property" Exclusion, "Product Recall" Exclusion, "Your Product" Exclusion, Food and Drug Administration, Food Manufacturer, Food Recall, Food Safety, Insurance Coverage, Liability Policy, Policy Exclusions, Property Damage

Sunland Salmonella Saga Provides a Window to FDA Enforcement

A new year is here, and the food industry remains in a sort of regulatory limbo.  Between the FDA’s delay in releasing regulations under the implementation deadlines set forth in the Food Safety Modernization Act (FSMA) and inadequate funding from

Posted in Food Safety, Food Safety Modernization Act, Insurance Coverage

Airline Food Safety and Accountability

Delta made headlines this summer when passengers discovered needles in turkey sandwiches served on three separate flights from Amsterdam to the U.S.  Both the Transportation Security Administration (“TSA”) and the FBI announced that they would be investigating the catering company, Gate Gourmet, to determine the

Posted in Food Safety

FDA Announces 100k Genome Project

The Food and Drug Administration(FDA) and the Centers for Disease Control (CDC) are collaborating with the University of California Davis and Agilent Technologies, a chemical analysis/engineering company from Santa Clara, California, to sequence the genetic codes of 100,000 types of lethal

Posted in Food Safety, Food Safety Modernization Act
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Cozen O’Connor has a national team of attorneys experienced in handling food contamination and product recall coverage matters related to first-party, third-party and specialty policies. The firm also developed a Food, Beverage & Nutritional Products Industry Team to provide advice and counsel to a wide range of companies connected directly and indirectly to the food and beverage industry.
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