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Recall Expenses Lawsuit Settled for Far Less Than Damages Claimed

A Hodgson Russ client sold an industrial byproduct that was ultimately used as a mineral supplement in feed. Due to dioxin contamination – which was ultimately traced to our client’s plant – the feed was recalled by the FDA. Our client was sued by numerous feed manufacturers for recall expenses. Those claims sounded in breach of contract, breach of warranty, negligence, and product liability. We were successful in having several of the causes of action dismissed and ultimately were able to settle the actions for far less than the damages claimed.