John Park was CEO of Acme Markets Inc., a national retail food chain with approximately 36,000 employees,

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John Park was CEO of Acme Markets Inc., a national retail food chain with approximately 36,000 employees, 874 retail outlets, and 16 warehouses. Acme and Park were charged with five counts of violating the federal Food, Drug, and Cosmetic Act by storing food shipped in interstate commerce in warehouses where it was exposed to rodent contamination. The violations were detected during FDA inspections of Acme’s Baltimore warehouse. Inspectors saw evidence of rodent infestation and unsanitary conditions, such as mouse droppings on the floor of the hanging meat room and alongside bales of Jell-O, as well as a hole chewed by a rodent in a bale of Jell-O. The FDA notified Park of these findings by a letter. Upon checking with Acme’s vice president for legal affairs, Park learned that the Baltimore division vice president was investigating the situation immediately and would be taking corrective action. An FDA inspection three months after the first one disclosed continued rodent contamination at the Baltimore warehouse despite improved sanitation there. The criminal charges referred to above were then filed against Acme and Park. Acme pleaded guilty; Park refused to do so and proceeded to trial. After being convicted on each count, Park appealed. A federal court of appeals overturned his conviction. Was the appellate court correct in doing so?

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Business Law The Ethical Global and E-Commerce Environment

ISBN: 978-1259917110

17th edition

Authors: Arlen Langvardt, A. James Barnes, Jamie Darin Prenkert, Martin A. McCrory

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