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10/26/2007 12:00 AM     print story email story  

Aurora Organic Dairy Faces Lawsuits

SustainableBusiness.com News

Lawsuits have been filed in St. Louis and Denver alleging that Boulder, Colorado based Aurora Organic Dairy sold milk, labeled as organic, which did not meet organic certification standards.

Aurora released a statement saying there is no basis for the claims and that it will defend itself vigorously. "Aurora Organic Dairy has maintained continuous organic certifications for all of our farms and facilities," said Marc Peperzak, Aurora Organic chairman and CEO. "Our milk is and always has been organic."

The lawsuits are based, in part, on an April 16, 2007 Notice of Proposed Revocation issued by the U.S. Department of Agriculture to Aurora. Violation No. 8 of the Notice charges that Aurora sold milk labeled as organic, dating back to Dec. 5, 2003 that was not handled in accordance with certain National Organic Program (NOP) regulationsspecifically, regulations that cover how livestock is transitioned to organic, what they are fed and how they are penned.

Aurora released a statement saying the allegations in violation No. 8 are untrue, and that a consent agreement signed with the USDA on August 23, 2007 recognizes the company has eight valid organic certifications under the NOP. Peperzak said certifiers inspected the dairy's facilities throughout the stated time period and found no violations.

The USDA also took enforcement action against the state of Colorado, one of Aurora's certifiers, as a result of the investigation that produced the Notice of Proposed Revocation. The state agreed to hire more staff and attend NOP training programs.

The Cornucopia Institute and the Organic Consumers Association organized the lawsuits against Aurora, which could expand to class-action lawsuits representing consumers nationwide. Currently there are 36 plaintiffs in 30 states, according to an attorney from one of the firms that filed suit.

Aurora operates four dairy farms with more than 5,000 acres, making it one of the largest organic dairy operations in the nation. It provides private-label organic milk to retailers, including Wal-Mart, Target, Costco and Wild Oats.

The lawsuit filed in St. Louis states, "Aurora's immense production of 'organic' milk has glutted the market, driven down prices and made it more difficult for small farmers who produce real organic milk to compete." Attorneys are requesting that the U.S. District Courts put an injunction in place to halt the sale of Aurora's organic milk.



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