Guilty plea in California meat recall case
National News
A co-owner of a Northern California slaughterhouse accused of processing cows with cancer has pleaded guilty to a criminal charge.
The San Francisco Chronicle reports that 77-year-old Robert Singleton, co-owner of Petaluma-based Rancho Feeding Corp., entered the plea on Friday to aiding and abetting in the distribution of adulterated, misbranded and uninspected meat. He has agreed to work with prosecutors who have filed charges against the company's other owner, Jesse Amaral Jr., and two employees, Eugene Corda and Felix Cabrera.
They have pleaded not guilty.
Prosecutors say the company slaughtered dozens of cows with skin cancer of the eye, and plant workers swapped the heads of diseased cattle with those of healthy cows.
Operations were halted in February after a series of recalls, including one for 8.7 million pounds of beef.
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Workers’ Compensation Subrogation of Administrative Fees and Costs
When a worker covered by workers’ compensation makes a claim against a third party, the workers’ compensation insurance retains the right to subrogate against any recovery from that third party for all benefits paid to or on behalf of a claimant injured at work. When subrogating for more than basic medical and indemnity benefits, the Texas workers’ compensation subrogation statute provides that “the net amount recovered by a claimant in a third‑party action shall be used to reimburse the carrier for benefits, including medical benefits that have been paid for the compensable injury.” TX Labor Code § 417.002.
In fact, all 50 states provide for similar subrogation. However, none of them precisely outlines which payments or costs paid by a compensation carrier constitute “compensation” and can be recovered. The result is industry-wide confusion and an ongoing debate and argument with claimants’ attorneys over what can and can’t be included in a carrier’s lien for recovery purposes.
In addition to medical expenses, death benefits, funeral costs and/or indemnity benefits for lost wages and loss of earning capacity resulting from a compensable injury, workers’ compensation insurance carriers also expend considerable dollars for case management costs, medical bill audit fees, rehabilitation benefits, nurse case worker fees, and other similar fees. They also incur other expenses in conjunction with the handling and adjusting of workers’ compensation claims. Workers’ compensation carriers typically assert, of course, that, they are entitled to reimbursement for such expenditures when it recovers its workers’ compensation lien. Injured workers and their attorneys disagree.