• Filing Date: 2013-08-09
  • Form Type: 10-Q
  • Description: Quarterly report
v2.4.0.8
7. COMMITMENTS AND CONTINGENCIES
6 Months Ended
Jun. 28, 2013
Notes to Financial Statements  
Note 7 - COMMITMENTS AND CONTINGENCIES

Legal Proceeding: On August 3, 2012, Trident Seafoods Corporation and Liberty Mutual filed a lawsuit against us in the United States District Court, Western District of Washington, for declaratory judgment, breach of contract and violation of the Consumer Protection Act. This action is the result of a previous decision of the administrative law judge for the U.S. Department of Labor, wherein it was determined that a former employee of ours was, in fact, an employee of Trident Seafoods, for purposes of the U.S. Longshore and Harbor Workers' Compensation Act. The administrative law judge ordered Trident Seafoods and its insurer Liberty Mutual to pay workers compensation benefits to the employee following a serious injury. Trident Seafoods alleges we have a contractual duty to pay the workers’ compensation benefits for the injured “borrowed” employee. We believe the claims asserted by Trident are unfounded and we are vigorously defending this case. This case is presently in the pretrial discovery phase.