Rose Acre Farms Files Lawsuit Accusing Supplier of Poor Packaging, Lost Product

Rose Acre Farms, which is based in Seymour, has filed a lawsuit against a New Jersey packaging company claiming that the plastic packaging they received was defective and resulted in thousands of dollars in lost product, according to a report from The Indiana Lawyer.

Court documents say Rose Acre purchased an order of bags in January 2024 from Tri-Cor Flexible Packaging, Inc. to ship the company’s dried egg yolk powder.

Last October, Rose Acre says that they were notified by a customer that a shipment of 87 cases of powder they received contained bags that had been split open along the seams. The powder in those bags was deemed unusable because the split seams exposed the product to potential contamination.

Rose Acre reimbursed the customer over $21,000 for the damaged products and incurred $1,050 in freight costs to pick up the unusable product.

The same month, another customer told Rose Acre it also received a shipment of egg yolk powder in plastic bags with defective seams, according to court documents.

Rose Acre filed a complaint with Tri-Cor, and the packaging company responded, asking the farm to return the bad product to the plant. Rose Acre said they couldn’t send the bags back because they had already been used to ship products to the farm’s customers.

The egg production company said it has received at least one additional customer report that cases of powder are unusable and anticipate more customer complaints, court documents stated.

Rose Acre is suing Tri-Cor for breach of contract, breach of implied warranty of merchantability, and breach of warranty of fitness for a particular purpose.

The lawsuit was filed last Friday in Indiana Commercial Court in Marion County.

Rose Acre Farms is the second largest egg producer in the country, producing shell eggs and other egg products for industrial and food service customers. The company says in its lawsuit that it has been in a contract with Tri-Cor Flexible Packaging Inc. to buy polyethylene film and bags since 2010.

CLICK HERE to read the lawsuit.