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Company Dumps Peanut Butter After Bankruptcy

Company Dumps Peanut Butter After Bankruptcy

: Richard West Law Office

peanut butterA New Mexico landfill is now holding some one million jars of peanut butter. The Sunland Inc. peanut-processing plant is behind the massive product purge after a nationwide recall over salmonella contamination. But, the dumping of the product isn’t what you think.

Forced Failure

After a reported 41 cases of salmonella poisoning, the Sunland Inc. company has been in hot water and even filed for Chapter 7 bankruptcy protection a while back. While struggling to liquidate and close its doors, Sunland says it was forced to dump the jars of peanut butter after wholesale distributor Costco refused the delivery of a recent product. Despite testing and confirmation the product was safe Sunland says it tried to donate the product to a local food bank, but Costco allegedly refused for the product to be donated. Sunland’s bankruptcy trustee said there “was no other choice” in the matter other than to get rid of the product. However, local food bank employees are still disappointed in the wasteful actions.