Tag: commercial

What to Ask About Recall or Product Contamination Insurance Coverage

If they don’t already have it, I advise my clients to talk with their insurance broker about purchasing recall insurance (otherwise known as product contamination insurance) . For clients who have recall insurance, I advise them to make sure the policy provides the coverage they expect. Recall insurance is a different animal than other policies … Continue Reading

Why CSPI’s Loyalty Card Suit Has No Merit and Does Not Promote Food Safety

Following the playbook it has followed in the past with sodium and other issues, the Center for Science in the Public Interest (CSPI) has filed yet another complaint of very questionable legal merit to promote a policy agenda. This time CSPI seeks to compel all retailers to use loyalty cards as a recall alert system. … Continue Reading

Take-Aways from November 17 Webinar: Sustainable Foods Increase Litigation Risks: Developing Strategies to Minimize Exposure

On November 17, we held our final webinar in a three-part series on bringing sustainable food products to market. Take-aways from the third webinar include: • Be aware that "natural" is a hot button when advertising and labeling sustainable food products. • "Sustainable" is not addressed in FTC Green Guides so it is imperative to … Continue Reading

Litigation and Insurance Coverage Risks from Swine Flu (H1N1)

For food companies (and other businesses), a dangerous and deadly flu pandemic (e.g., H1N1) can be a business disaster. Adding insult to injury is personal injury litigation and the accompanying insurance coverage nightmares that follow. What Are the Personal Injury Litigation Risks? For restaurants, airlines, cruiselines, supermarkets, hospitals, schools, and other institutions, risk comes from … Continue Reading

Before the Outbreak, Preapprove Defense Counsel with Insurer

When a food-borne illness outbreak happens, few food companies (especially those whose brand is at stake) want an unfamiliar defense lawyer who has little knowledge about food-borne illness responding to claims asserted against them. Unless a food company maintains a high, self-insured retention or has the lawyer of its choosing preselected, its insurer might appoint … Continue Reading

The Uniform Commercial Code and Food Recalls

Article 2 of the Uniform Commercial Code ("UCC") is the source for determining the contract rights between parties, often including completely innocent parties, involved in a product recall. The terms of the parties' contract, often subject to the so-called "battle of the forms" will determine their relative rights. The timing of the recall, whether it occurs before acceptance, during the time when a revocation of acceptance can still be possible, or when the only remaining claims are for breach of warranty, will also have a critical effect on the parties' relative rights.… Continue Reading
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