As we anticipated back in May, there has been a significant increase in litigation relating to business interruption insurance coverage for losses attributable to COVID-19 restrictions. Restaurant policyholders, in particular, have been at the forefront of raising these disputes. These cases have mainly centered on the applicability of two common provisions in insurance policies: (i) Business Income Coverage provisions and (ii) Virus or Micro-organism Coverage exclusions. Most business income coverage provisions provide that coverage…

On Monday, October, 19, 2020, Northern District of Illinois Judge Virginia M. Kendall denied three motions to dismiss a putative class action alleging that the nation’s leading turkey suppliers—including Butterball, Cargill, House of Raeford, Tyson, and Perdue—engaged in a conspiracy to fix the prices of turkey sold in the United States over a seven year period.  [1]…

As the Bilzin Sumberg team previously reported in June 2020, the Department of Justice (DOJ) indicted four executives from Pilgrim’s Pride and Claxton Poultry for their participation in a conspiracy to fix prices and rig bids of broiler chicken products. That indictment alleged that from at least 2012 through at least 2017, Pilgrim’s, Claxton, and at least five other unnamed chicken suppliers participated in a conspiracy to exchange confidential pricing information and rig bids to…

Earlier this month, the Attorney General’s Office of the State of New York filed a lawsuit  in New York Supreme Court against Hillandale Farms alleging that the company gouged egg prices during the COVID-19 pandemic. The State’s Petition, based on alleged violations of New York’s General Business and Executive Laws, contends that Hillandale, one of the nation’s largest producers and wholesale suppliers of eggs, “increased its prices for eggs to levels double, triple, and…

On June 8, 2020, Judge Katherine Polk Failla in the Southern District of New York dismissed a putative class action against TGI Friday’s (“Friday’s”) for alleged deceptive advertising. The Plaintiff claimed the labeling of Friday’s “Sour Cream & Onion Potato Skins” chips is misleading because it led her to believe the snack contained real potato skins and was thus a healthier option than most chips. According to the Plaintiff, she—and the members of the putative…

On June 3, 2020, the Department of Justice (DOJ) indicted executives from Pilgrim’s Pride Corporation and Claxton Poultry Farms—two of the country’s largest chicken producers.  The criminal action was filed in the District of Colorado, where Pilgrim’s Pride is headquartered.  The individuals criminally charged are Pilgrim’s President and CEO, Jayson Penn and former Vice President, Roger Austin, as well as Claxton’s President, Mikell Fries, and Vice President, Scott Brady.…

On May 20, 2020, the Eleventh Circuit affirmed the dismissal of a proposed class action against General Mills for its alleged failure to disclose the presence of a harmful chemical in its Cheerios cereal. The Eleventh Circuit agreed with District Judge Robert N. Scola Jr.’s finding that the Plaintiff failed to allege an actual injury sufficient to confer Article III standing.[1] The Plaintiff alleged General Mills failed to disclose that its Cheerios and Honey Nut…