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Marchand v. Barnhill
Citation:
212 A.3d 805 (Del. 2019).Facts
Blue Bell Creameries USA, Inc. was founded in 1907 and produces ice cream. In early 2015, Blue Bell was forced to recall all of its products, shut down production, and lay off one-third of its workforce after a listeria outbreak. Three deaths and corporate losses also resulted from the outbreak. As a food manufacturer, Blue Bell was subject to federal and state food safety regulations. After the outbreak, the FDA discovered numerous systematic deficiencies at all the plants. According to the complaint, Blue Bell’s board of directors had essentially no information or reporting systems regarding food safety and the board did not regularly review Blue Bell’s operations or compliance in regard to food safety.
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