Health Law

Bankruptcy Claims Against Peanut Corporation of America Total 154 in Salmonella Outbreak

By Marler Clark

AP reports today that the bankruptcy trustee says claims have been filed for 154 people who say they were sickened by a salmonella outbreak traced to a Virginia peanut company.  Peanut Corp. of America filed for Chapter 7 bankruptcy amid fallout from the outbreak, which left about 700 people sick and was linked to at least nine deaths. The outbreak was traced to the company's plants in Georgia and Texas.  The trustee, Roanoke attorney Roy Creasy, said Thursday that the total number of claims includes some that have trickled in after the Oct. 31 deadline, as well as some that are being withdrawn. So it's unclear how many ultimately will be eligible for compensation from a $12 million fund approved by a bankruptcy judge in Lynchburg.  The fund will use money from Peanut Corp. insurance policies.

Full post as published by Food Poison Blog on November 19, 2009 (boomark / email).