XL Foods to pay $4 million over recall

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Published: February 25, 2016

A $4 million settlement has been reached in a class action lawsuit against XL Foods, which was involved in the largest food recall in Canadian history.

The recall was issued after E. coli 0157:H07 was detected in beef processed at the plant near Brooks, Alta., in late August of 2012.

The settlement resolves the litigation, and XL Foods does not admit wrongdoing or liability. The Alberta court approved the settlement and a protocol for distribution of the settlement funds.

The legal firms of Siskinds LLP of London, Ont., James H. Brown and Associates of Edmonton and D’Arcy & Deacon LLP of Calgary launched the class action. The firms will be paid $1.285 million and disbursements of $100,000 and applicable taxes.

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federal government proposed several months ago to increase the compensation rate from 80 to 90 per cent and double the maximum payment from $3 million to $6 million

Anyone in Canada or the United States who bought and/or ate recalled XL beef or who bought beef that could not be positively identified as recalled XL beef are eligible to claim settlement benefits.

No proof of purchase is required in consumer class action suits of this type, although claimants who do not have receipts can apply for only a maximum of $25 each, said lawyer Daniel Bach of Siskinds LLP.

“The goal is to get the money into the hands of those who have valid claims,” he said.

Those with proof of purchase will receive the full amount of their purchases. Those who ate the beef and became ill but do not have medical records can make a claim up to $500,000.

The recalled beef was processed at the Brooks facility between Aug. 24 and Sept. 5. Unidentified beef covers products bought for private consumption between Aug. 24 and Oct. 21.

Leftover money will be donated to Food Banks of Canada and Feeding America, which support U.S. food banks.

Claim forms can be found at www.xlbeefclassaction.com and must be submitted by Aug. 17. More information about the settlement, the distribution of settlement funds and the claims process can be found online at www.xlbeefclassaction.com or by calling the claims administrator at 800-951-3201.

About the author

Barbara Duckworth

Barbara Duckworth

Barbara Duckworth has covered many livestock shows and conferences across the continent since 1988. Duckworth had graduated from Lethbridge College’s journalism program in 1974, later earning a degree in communications from the University of Calgary. Duckworth won many awards from the Canadian Farm Writers Association, American Agricultural Editors Association, the North American Agricultural Journalists and the International Agriculture Journalists Association.

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