Ridly-BSE-Class Action Suit-BSE?

[rain]

Has any one heard anything about this lawsuit againts Ridly (FeedRite)?

Just caught a bit while I was on the road.

[SASH]

Quebec farmer sues Ridley Inc. and Ottawa over mad cow border closure




WINNIPEG, Apr 06, 2005 (The Canadian Press via COMTEX) -- A Quebec farmer has filed a class-action suit against the federal government and animal feed company Ridley Inc. over mad cow disease and the U.S. border closure affecting Canadian beef exports.

The farmer alleges that Ridley may have supplied tainted food to the Alberta cow diagnosed in 2003 with the disease, causing the U.S. to close its borders to Canadian cattle, the company said Wednesday.

The suit, filed in Quebec Superior Court in Montreal, claims $100,000 in damages because of the border closings that followed the case and the farmer's inability to sell his herd. It seeks certification as a class action on behalf of all affected farmers in the province.

Other defendants are the Solicitor General of Canada and the Ministry of Agriculture.

The suit alleges that Ridley was a possible supplier of feed to the affected Alberta cow early in its life and says the company should have stopped using ruminant meat and bone meal in its cattle feed even before it was banned in 1997.

"Nothing in the claim filed in the Quebec court connects Ridley to the complainant," the company said in a release.

"Ridley has not yet been formally served with the complaint and we are carefully reviewing the court documents at this time," said Ridley CEO Steve VanRoekel.

"We are confident that the allegations will prove meritless and we intend to vigorously defend this suit."

Ridley said it expects similar lawsuits to be filed against it and the federal government in a number of other provinces over the coming weeks.

A 2003 government investigation into the case of bovine spongiform encephalopathy found no wrongdoing on Ridley's part.

"Ridley has at all times been in full compliance with regulations relevant to the May 2003 BSE case," VanRoekel said.

Ridley, with headquarters in Winnipeg and Mankato, Minn., is one of North America's leading commercial animal nutrition companies.

Shares in the company (TSX:RCL) lost 15 cents to $11 Wednesday morning on the Toronto Stock Exchange.

The online source for news sports entertainment finance and business news in Canada

[rain]

This is a bit of a stretch isn't it? Do these guys have any legs to stand on?

[SASH]

You know a few months ago if you had asked me about these Quebec farmers I would have said they were way too militant. Now I'm starting to come around to the idea that the way Quebeckers and Americans play the game seems to be very similar. Traditionally, I think western Farmers really don't like pushing things with lawyers and courts but successful businessmen do it all the time. Maybe we've got to get on the same page as these guys and play the game their way in order to get some respect. JMHO.

[grassfarmer]

Sounds like garbage to me, rain. There is no way anyone can pin the BSE blame on a particular feed company. Someday if, and it's a big if, anyone definatively proves the feed-BSE link they might have a chance. To try it now is just nonsense and a try on in my opinion. These lawyers must be rubbing their hands just now with all the money coming their way.

[rkaiser]

You know grassfarmer, this might be a chance for the feed company to invite Mark Purdey as a guest witness.LOL

[kato]

Now isn't that interesting. By sheer coincidence (?) we received the following letter right out of the blue from FeedRite just this week. I was kind of wondering why they sent it, but I guess now I know.

"Valued Customer,

You have undoubtedly followed the ongoing issue of BSE (Mad Cow Disease) being found in the Canadian cattle herd. Amid the legal discussions of the border re-opening to cattle under 30 months of age, the BSE investigation continues, and part of the focus is on the safety of the feed supply.

One of the causes of BSE is believed to occur from the feeding of infected rendered ruminant by-products back to ruminant animals, a practice that has been banned in Canada since 1997. Although ruminant meat and bone meal is still available on the Canadian market and is legally used in non-ruminant feed manufacturing oby some feed companies, Feed-Rite took the additional steps, beginning in 1997, of removing it from cattle focused plants, and then removing it completely (underlined) from all of its manufacturing facilities by 2001. This is our method of providing you with absolute confidence that there will be no cross-contamination of ruminant meat and bone meal in your feed through our manufacturing process.

At Feed-Rite, we consider ourselves a member of the food production chain, and food safety is an area that we take very seriously. This is why we adhere to the internationally recognized ISO 9001 quality control processes and the HACCP food safety standards. The combination of these quality assurance programs makes us leaders in quality control among feed manufacturers in Canada. These practices help us to provide you with consistent and safe feed products that meet your on-farm quality assurance and food safety goals."

It is signed by the executive vice president, Calvin Martin.

[grassfarmer]

We have had similar letters from Feedrite ever since the first case of BSE Kato. I would think they are trying to re-assure customers rather than cover up any alleged guilt.
We had a similar scenario in the UK where one feed company was rumoured to be the origin of a high proportion of the BSE cases. Their business took a big hit and they nearly went bust but ultimately survived (albeit with a name change disguised in a merger)Bottom line is no one has a shred of evidence to connect manufacturers of feeds with BSE. I think anyone trying to extract money from a feed company for causing BSE should either put up or shut up.

[kato]

We've been dealing with them for a couple of years and found them to be really good. A little fussy about being paid on time, LOL, but other than that, the service has been excellent.

Besides, wasn't it legal to feed byproducts at the time that those cows were supposedly infected? Were they supposed to be psychic?

[rain]

I hear you Kato. To me they seem like a good company as well.

I wonder however if it is the fact Crystalyx was bought out by Ridly which ownes both companies is the fly in the ointment. I have not heard anywhere what type of feeds supposedly could have contaminated (sic) Canadian Cattle.

Actual testing for compliance of US feed manufacturing rules are supposedly years behind us.

[grassfarmer]

rain, it's my understanding that the only possible feed that could have "contaminated" cattle with BSE is one which was consumed within the first 56 hours of a calves life. That limits it to the very remote possibility of calf creep pellets in cases where it was on offer - typically dairy farms or the more likely culprit which is powdered calf milk. Again the dairy farms are more likely to be feeding this product although occasional an beef calf that has been orphaned is at risk too.
This certainly fits the profile exactly of the farms and cattle that succumbed to BSE in the UK.