Yearly Archives: 2013

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  In this unpublished opinion, the three-judge panel upheld the trial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

Don’t Overstep Regulations: Third Circuit Rules that FDA Regulations Trump State Causes of Action in Trans-Fat Labeling Claim

The Third Circuit Court of Appeals recently ruled that FDA regulations preempted a consumer class action complaint alleging that trans-fat content and cholesterol-reduction claims on light spread butter and margarine substitutes misled customers. This decision adds to the growing list

Posted in "No Trans Fat", "Proven to Reduce Cholesterol", Class Action, False Advertising, Food, Food and Drug Administration, Food Drug and Cosmetic Act, Labeling Claims, Nutrition Labeling and Education Act, Preemption

Framing of Damages Determines Duty to Defend in Recent New York Case

A New York appellate court recently upheld a supreme court ruling that an insurer had a duty to defend a manufacturer’s faulty workmanship where it resulted in third party property damage.  I.J. White Corp. v. Columbia Cas. Co., 2013 NY

Posted in Duty to Defend, Food Manufacturer, Insurance Coverage, Liability Policy, Occurrence, Property Damage

The Horses Are Off (the Shelves)! Odds Are that the Ensuing Litigation Will Be An Endurance Race

Regulators, food distributors, and, of course, lawyers are scrambling to determine the legal and reputational consequences of the still-growing horse meat scandal that recently hit Europe.  Amid the recalls, finger-pointing, and consumer outrage at the thought of eating horse meatballs

Posted in Crisis Management, E. Coli, False Advertising, Food Manufacturer, Food Recall, Fraud, Horse Meat, Insurance Coverage, Uncategorized

Supreme Court Rejects Class Action Plaintiff’s Stipulation of Damages to Avoid Federal Court

The United States Supreme Court handed class action defendants a major victory today in the case of Standard Fire Insurance Co. v. Knowles (Supreme Court opinion available here). The Class Action Fairness Act of 2005 (CAFA) gives federal district courts

Posted in Class Action, Class Action Fairness Act, Class Certification

NY Court’s Rejection of City’s Soda Restrictions May Chill Similar Health Mandates Says Rich Fama and Other Experts

In wake of the New York state court’s ruling striking down the New York City Department of Health’s controversial large soda ban, Law360 has this article describing the possible regulatory implications. The full opinion may be found here. About The

Posted in Food Manufacturer, High Fructose Corn Syrup, Municipal, Public Health, Regulation

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

“All Natural” Food Labeling Claims Trending in California

New Year’s resolutions may already be waning but consumers continue to purchase foods and beverages bearing the “All Natural” labels in an effort to eat healthier.  The only food trend hotter than buying “Natural” foods and beverages is suing the

Posted in "All Natural", California, Class Action, Class Certification, False Advertising, Food and Drug Administration, Food Manufacturer, Genetically Modified Organism, High Fructose Corn Syrup, Labeling Claims, Standing, Sugar Substitutes
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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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