SMITH AND LOBDELL, derivatively on behalf of COSTCO WHOLESALE COPORATION v. VACHRIS, et al.
Two Costco shareholders filed a derivative action against company executives for violating their fiduciary duty and facilitating the company’s violations of Nebraska and Iowa laws against livestock neglect. The complaint alleges that chickens used by Costco are bred to grow to the point that they are unable to stand under their own weight and are rendered unable to access food or water. Plaintiffs are represented by Adam Karp and Legal Impact for Chickens, and conditions were revealed by an undercover investigation conducted by Mercy for Animals.
[To accompany Case Law Update "Costco Shareholders Sue Executives for Neglect of Chickens" from Brooks Animal Law Digest Issue No. 143.]