Chipwich's $4.5M Recall Lawsuit Melts Away, Leaving a Sticky Mess for Food Businesses
Chipwich's $4.5M Recall Lawsuit Melts Away, Leaving a Sticky Mess for Food Businesses
By Foodie Pundit Newsroom - Published - Updated - Section: Food Safety
Key points
- Product recall insurance is not standard and food businesses must specifically ask for it.
- A recall's true cost goes far beyond the product itself, including shipping, disposal, and brand damage.
- The Chipwich case is a multi-million dollar cautionary tale for all food businesses to audit their insurance policies immediately.
- Independent restaurants and food makers are especially vulnerable as a single recall event can be a business-ending catastrophe without the right coverage.
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Sources and methodology
Reported from the public datasets below.