Public Company Report – Tyson Foods
by October 16, 2000 12:00 am 101 views
On the second day (Oct. 10) of a trade-secret lawsuit, Washington County Chancellor John Lineberger told lawyers for Springdale-based poultry giant Tyson Foods Inc. there was a “serious problem” with what they were asking for against Nebraska-based ConAgra Foods Inc.
rTyson has accused ConAgra of hiring several former high-level Tyson employees to obtain the company’s secret nutrient profile for its efficient and less costly chicken feed.
rTyson had originally asked for monetary damages of about $70 million and for an injunction forbidding ConAgra from using the secret nutrient profile. But after Lineberger conferred with the 11 lawyers involved in the case, Tyson asked an injunction forbidding ConAgra from sharing the information with other companies. Tyson also wants damages awarded on a continuing basis if ConAgra receives benefits for using the profile.
rDavid Purtle, a former Tyson executive, was hired by ConAgra in June of 1999. In 1997, Purtle directed Tyson’s nutritionists when the profile was developed. A month after Purtle left Tyson, ConAgra began using the profile Tyson claims is identical to the one previously known only by Tyson.