US: Tyson settles “antibiotic free” lawsuit
By Katy Askew | 15 January 2010
Tyson Foods has reached an agreement to settle a US consumer lawsuit arising from the meat giant's marketing claim that its chickens were "raised without antibiotics".
The consumer lawsuits originated in January 2008, when Tyson rivals Perdue Farms and Sanderson Farms alleged that Tyson's "raised without antibiotics" labelling constituted false advertising because the company used ionophores, a poultry feed additive.
In an settlement filed earlier this week, Tyson said that it would provide individual consumers with cash compensation of US$5, $10 or $50 coupons. The cost of the agreement, including administrative costs, will total $5m.
A spokesperson for Tyson told just-food that the group was "pleased" to reach the settlement, which is awaiting court approval.
"Our "Raised Without Antibiotics" chicken initiative, which we started in 2007, was suspended in 2008 due to labelling challenges," the spokesperson said.
"While we believe our company acted appropriately, we also believe it makes sense for us to resolve this legal matter and move on."
Sectors: Meat & poultry, NPD & innovation, Seafood
Companies: Tyson Foods, Sanderson Farms
View next/previous articles
15 Jan 2010 -
15 Jan 2010 -
Currently reading -
US: Tyson settles “antibiotic free” lawsuit
15 Jan 2010 -
15 Jan 2010 -
Related articles
The just-food interview - Brasil Foods CFO Leopoldo Saboya
The creation of Brasil Foods, one of the world's largest meat groups, from Brazil's Perdigao and Sadia, was a rare mega-merger in 2009, when the global crash hit M&A. However, the deal is yet to win complete regulatory approval and, although parts of Perdigao and Sadia are operating together, Brasil Foods is yet to reap the rewards of the merger. In this month's just-food interview, Michelle Russell speaks to Brasil Foods CFO Leopoldo Saboya about the prospects for the business.
On the money: Sanderson predicts limited poultry production in 2010
US meat giant Sanderson Farms said it expects poultry production levels to be limited for the remainder of the year.
US: Chicken demand boosts Sanderson profits
Demand for chicken boosted profits at US meat giant Sanderson Farms in the first-half of its fiscal year.
There are currently no comments on this article
Be the first to comment on this article