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Up to $125,000 for Maple Leaf victims

February 3rd, 2009 by Financial Resource Centre

STEVE LADURANTAYE

Globe and Mail Update

February 2, 2009 at 10:59 AM EST

Maple Leaf Foods Inc. says its $27-million settlement in a food-poisoning class-action lawsuit is heading to court for final approval, with victims receiving payments ranging from $750 to $125,000.

The company said Tuesday it would pay $125,000 to the estates of those who died from a listeriosis outbreak at a Toronto food-processing facility, adding that “additional substantial amounts” would be paid to immediate family members. Legal costs and other expenses will also be paid out of the settlement fund, the company said.

Twenty people died after developing listeriosis, a bacteria that poses a particular threat to the elderly, pregnant women and those with weakened immune systems. The outbreak, which triggered a massive food recall August, was tied back to deli meat from Maple Leaf’s Toronto plant. In all, some 668,000 kilograms of meat was called back.

The company said claims could be submitted online , and must be received before July 31.

Anyone who purchased meat between Jan. 1 and Aug. 31 are considered members of the class-action suit, but to receive cash a claimant would have to prove a link between the meat and their illness. Anyone who purchased the recalled meat, but didn’t eat it, does not qualify.

“To qualify for payment under the settlement, you must deliver supporting documentation to verify that you or the person you represent qualifies,” the company said. “The court requires statutory declarations that prove that the information provided on claim forms is accurate. Otherwise, the claims administrator cannot validate claims.”

Court dates are March 5 in Ontario, March 10 in Saskatchewan. A date hasn’t been set for Quebec. Anyone who objects to the settlement must register their disapproval by March 2, and would be expected to appear in court to voice their concerns.

The company released a compensation grid, showing how much money those who ate the meat may expect to receive:

– Someone who was ill for up to 48 hours would receive $750

– Up to a week receives $3,000

– Up to two weeks receives $5,500

– Up to a month receives $8,000

– If listeriosis led to a secondary infection that didn’t cause ongoing symptoms, such as meningitis or pneumonia, the settlement is $35,000

– If listeriosis caused sustained or permanent symptoms, the settlement is $75,000 plus $750 for each day of hospitalization

– If secondary complications affected the nervous system and caused “serious and permanent impairment of physical and/or mental function,” payment is $125,000 plus $750 for each day of hospitalization. A family member who was affected psychologically could receive $10,000.

– A death would lead to a $120,000 payment to the victim’s estate. A spouse would be eligible for an additional $35,000, while children could receive $30,000, parents could receive $20,000 and siblings or grandchildren could receive $5,000. Funeral expenses up to $13,500 would also be covered.

– Anyone who “sustained psychological injuries or trauma for up to 60 days” after eating tainted meat, without any injuries, could receive up to $4,000.

– Anyone who was at particular risk, such as pregnant women and the elderly, but did not become ill could receive up to $6,000 for psychological trauma that lasted up to 60 days.

– If psychological symptoms lasted more than 60 days, compensation is set at $13,500.

– Those in the vulnerable group who experienced psychological symptoms for more than 60 days could receive $17,500.

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