The insurance company representing San Francisco Sausage Co., for claims made by consumers whose illnesses were attributed to the survival of E.coli O157:H7 in the fermentation process for the company's dry salami in late 1994, reached a global settlement through mediation with the seven defendant firms this month. The terms of the settlement contain confidentiality clauses precluding the disclosure of both the operative facts of the case, as well as the sum paid by the defendants.
NMA encouraged the defendants, all NMA members, to participate in the mediation effort and is pleased that it has resulted in a sealed settlement which precludes any publicity. NMA is continuing to investigate risk retention programs that will fit this model and expects to report to members by early 1998 on their feasibility.
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Meat Industry Insights News Service
P.O. Box 553
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Phone: 631-757-4010
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