NEW YORK (TheStreet) -- A poultry farmer could learn as early as Monday from the Supreme Court whether his appeal over a case against Tyson Foods (TSN) - Get Tyson Foods Inc. Report business practices will be heard, according to a report.
The Tennessee farmer, Alton Terry, had brought a case against Tyson in 2008 -- and lost in federal court -- when the company allegedly cut him off after he tried to bring together other farmers to complain about practices at company unit Tyson Farms, says the
Tyson's trying to persuade the Supreme Court not to hear the appeal, with the argument that the 6th U.S. Circuit Court of Appeals in Cincinnati had already turned it down. The report said the Bush administration's Agriculture Department had actually sided with Terry during an early phase of the case.
According to the report, Terry began bringing together the other farmers after he learned that both he and other farmers were being handled unfairly by the big meat processor.
For Terry, reported
his dispute with Tyson Farms occurred after the company told him that the poultry farm he purchased in 2001 was of high quality and wouldn't require any expensive investments in poultry equipment for a very long time; he appeared to have been misled on this point.
said that, furthermore, Tyson had barred Terry from watching as his poultry was being weighed by the company. The report says under its contacts with farmers for raising chicken, Tyson supplies the chicks, feed and knowledge on getting the chickens up to a weight that would render them ready for slaughter. The farmers are paid according to the chicken's weight in relation to the amount of feed the farmer was provided.
The report said that in March of 2005, Tyson, according to Terry, said it would stop providing him with chicks because he was becoming confrontational and that the farm required expensive equipment overhauls. The farm was eventually foreclosed.
Shares of Tyson Foods have fallen 2.3% to $16.85 in morning trading, while peer
has inched lower to $50.67, down 0.2%.
has inched down 0.4% to $40.47.
-- Written by Andrea Tse in New York.
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