Sue The CFIA For Its Negligence? Good Luck.

This article originally appeared in Food in Canada and is republished with the permission of the publisher.

For reasons of trade, consumer protection and public health, the food industry is one of the most highly regulated in the country. The Canadian Food Inspection Agency (CFIA) has extensive investigation and enforcement powers. But what if the CFIA is clearly negligent in its investigations? What if the CFIA's negligence causes economic loss? Can the injured food company obtain compensation through litigation? Recently a client of ours was surprised to learn that the answer is probably "no": a food company has effectively no recourse to obtain compensation in a tort action against the CFIA. The latest case to confirm this law is The Los Angeles Salad Company Inc. v. Canadian Food Inspection Agency (2013 BCCA 34).

In that case, the plaintiffs exported carrots to Canada where they were sold to the public by Costco. As a result of reports by four consumers of illness caused by the carrots, the CFIA...