Parker Waichman LLP

Forward Foods Declares Bankruptcy Over Salmonella Outbreak

The Peanut Corporation of America (PCA) can add another victim to its growing list of casualties.  This time, a food manufacturer was forced to file chapter 11 bankruptcy over the massive recall and outbreak of tainted peanut products produced by PCA, reported Newsday. Forward Foods, which also operates under the name Detour, maker of high […]

The <"https://www.yourlawyer.com/topics/overview/Peanut_Corp_of_America_Salmonella_Outbreak">Peanut Corporation of America (PCA) can add another victim to its growing list of casualties.  This time, a food manufacturer was forced to file chapter 11 bankruptcy over the massive recall and outbreak of tainted peanut products produced by PCA, reported Newsday.

Forward Foods, which also operates under the name Detour, maker of high protein snacks and meal replacement bars, filed for bankruptcy protection citing that a “significant” portion of its stock had to be deemed condemned over fears of salmonella poisoning, said Newsday.  Detour products containing peanut products from PCA accounted for the overwhelming majority of Forward Foods’ protein bar sales, it said in bankruptcy documents, added Newsday.

Meanwhile, the U.S. Centers for Disease Control and Prevention (CDC) said that, to date, 642 people in 44 states have fallen ill, which is an increase of 20 in less than one week, said Newsday.  Over half of those sickened were children and nine people have died.  Also, nearly 2,250 products in 17 categories have been recalled by over 200 companies.  Since most salmonella cases are never reported to health authorities, it is likely that PCA products have sickened even more than the overwhelming 642 known victims.  Newsday also noted that food banks across the country have also had to dispose of thousands of pounds of food.

PCA is at the center of a criminal probe; faces more than a dozen lawsuits involving victims who were sickened by the company’s salmonella products, or their families—eight having been filed last week; bankruptcy filings, FBI search warrants; and the possibility of criminal charges, being called for by Congress.  PCA filed Chapter 7 bankruptcy on February 7, which means PCA will liquidate its assets to repay creditors, said Newsday.  Authorities closed PCA’s Texas plant last week and the Virginia plant—the only plant not linked to salmonella—also closed last week, said Newsday.

Last month, inspections of the Georgia plant found that PCA shipped peanuts that tested positive for salmonella contamination at least a dozen times in 2007 and 2008.  At the time of that discovery, PCA officials told the FDA that those peanuts tested negative for the bacteria in a second round of testing; however, the FDA learned PCA actually shipped some peanuts before the second tests were completed.  Other lots were shipped without testing and, in some cases, no second test was performed, even after the first came back positive.  Those same inspections of the Blakely plant turned up mold, roaches, and a leaking roof.

The Texas Department of Health recalled everything made in Plainview after it found horrifically revolting conditions including dead rodents, rodent excrement, and bird feathers in a crawl space above a production area.  According to the Associated Press (AP), the plant’s air handling system was pulling debris from the infested crawl space into production areas.   Despite having been in operation since 2005, that facility was unlicensed, and had never been inspected before the salmonella outbreak.

The Virginia facility, although not tied to the outbreak, was found to have flaking paint and evidence of rodents in 2007 and 2008.  The problems were classified as minor, and PCA promised to fix them, reported the AP in an earlier article.  When inspectors returned a second time in 2008 to ensure this was done, they found two dead mice in traps in a warehouse, as well as an open door, and a 32-inch-wide gap in strip curtains “completely exposed to the entrance of pests,” said the AP.  Mold was also found on the outside of 43 totes of blanched peanuts.

What Our Clients Say About Us
We have worked with thousands of clients and we appreciate them and their positive reviews. Here are just a few recent client reviews...
5 Star Reviews 150
Great place. Good service and helped with everything needed.
Bus Ministry
6 years ago
5 Star Reviews 150
Ok thanks, the wonderful woman I have been dealing with for more than 2 years, has been nothing but professional. She deserves more than 5 stars I can only give her 5 golden stars but Nicole Copertino deserves 10 . She has been the best & Amanda ‘s appreciation is so greatly appreciated.
Amanda Betancourt
2 months ago
5 Star Reviews 150
Christina Morace my Paralegal at Parker Waichman’s Long Island office successfully obtained not one but two World Trade Center Victim Compensation awards for myself. She was knowledgeable, always there for me and fought for the compensation I deserved for working at Ground Zero and then unfortunately getting two 911 related ailments. I will highly recommend Christina to anyone who has to go through the Victim’s Compensation process.
Thomas McNally
7 months ago

Why Choose Us to Help You?

We Take Care of Everything
Your situation is stressful enough: Let us take on the deadlines, paperwork, investigation, and litigation. We'll handle every detail so you don't have to worry.
No Recovery = No Legal Fees
We work on a contingency-fee basis, meaning that we only get paid from a portion of your settlement or jury award. If you don't get compensation, you owe us nothing.
Decades of Experience
Your situation is stressful enough: Let us take on the deadlines, paperwork, investigation, and litigation. We'll handle every detail so you don't have to worry.
Respected by Our Peers
Judges, insurance adjusters, and fellow attorneys all speak highly of our skills, and we've earned numerous accolades, including a flawless rating from AVVO.
We Have Many Locations To Serve You
We have the experience and the skilled litigators to win your case. Contact us and speak with a real attorney who can help you.
Long Island – Nassau
Parker Waichman LLP
6 Harbor Park Drive
Port Washington, NY 11050
Long Island – Suffolk
Parker Waichman LLP
201 Old Country Road – Suite 145
Melville, NY 11747
New York
Parker Waichman LLP
59 Maiden Lane, 6th Floor
New York, NY 10038
Queens
Parker Waichman LLP
118-35 Queens Boulevard, Suite 400
Forest Hills, NY 11375
Brooklyn
Parker Waichman LLP
300 Cadman Plaza West
One Pierrepont Plaza, 12th Floor
Brooklyn, NY 11201
New Jersey
Parker Waichman LLP
80 Main Street, Suite 265
West Orange, NJ 07052
Florida
Parker Waichman LLP
27299 Riverview Center Boulevard
Suite 108
Bonita Springs, FL 34134
Nationwide Service
Parker Waichman LLP
59 Maiden Lane, 6th Floor
New York, NY 10038