Fresh Produce Discussion Blog

Created by The Packer's National Editor Tom Karst

Thursday, October 11, 2007

United weighs in

What follows is United's reaction on the preliminary injunction to the no-match rule. I wonder how long it will be before conservative talk radio skewers the judge in this case? Not long, I'd wager:

From United:
United Fresh Applauds Judges Decision to Issue Preliminary Injunction
Yesterday, Northern California’s Federal District Court issued a preliminary injunction in the Social Security no-match litigation, thereby blocking implementation of the rule for several months until the Court has had a chance to fully examine it. As a result, the Social Security Administration (SSA) halted its plan to begin sending Social Security no-match letters to approximately 140,000 employers regarding approximately 8.7 million employees.
On September 11, 2007, United Fresh joined six other plaintiffs in filing a Motion to Intervene that challenged the regulation on several grounds, including violations of the Regulatory and Flexibility Act and of the Administrative Procedure Act. Among other claims, the suit cites the severe economic hardship that businesses could endure in order to immediately comply with the regulations. “I do not remember the last time a produce association sued the government to block an action that was unfair to its members,” said Emanuel Lazopolous, Senior Vice President of Del Monte Fresh Produce and United Fresh Chairman of the Board. “This shows how serious United Fresh is when it comes to working on behalf of its members.”
“We applaud the Court’s decision to suspend the implementation of the No-Match rule,” said Tom Stenzel, president and CEO of United Fresh. “Further analysis is needed in order to understand the real burden this will place on businesses, and it is incumbent upon the federal government to assure the program is executed correctly.”
Lawyers working with United Fresh and the other the plaintiffs have pointed out that the Court’s ruling on this issue indicate that the plaintiffs have a high probability of succeeding on one or more of the four legal theories that support the lawsuit.
“For many of our members, the burden of correcting SSA errors is a time consuming process, and, in order to comply, they will have to develop new policies and procedures,” said Autumn Veazey, director of legislative affairs and associate counsel for United Fresh. “Fortunately, this preliminary injunction will provide the much needed time for our company members and allied organizations to understand the implications of the regulation.”

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