Fresh Del Monte settles lawsuits
June 27, 2007
by FoodBusinessNews.net Staff
CORAL GABLES, FLA. — Fresh Del Monte Produce, Inc. and subsidiary Del Monte Fresh Produce Co. have reached settlement agreements to dismiss two class actions lawsuits on behalf of direct and indirect United States purchasers of bananas from the company and other producers.
Fresh Del Monte has agreed to pay no more than $2.5 million under the agreement with the direct purchasers. With the indirect purchasers, the company has agreed to donate fruit or other foods to a charity over the next year in the amount of $833,334, and in addition, the company will make a payment that will not exceed $108,334 for attorneys’ fees and cost of notice.
"Fresh Del Monte believes the settlement of these lawsuits, once finally approved by the court, is in the best interest of the company because it will dispose of these class action litigations and eliminate the continued burden, disruption and expense of responding to and defending against the claims," said Mohammad Abu-Ghazaleh, chairman and chief executive officer.
The cases have been pending in U.S. District Court in southern Florida since 2005.