Costco Sued Over Salmonella at Nebraska Chicken Plant, Seeks Nationwide Damages

COSTCOST

A federal class action lawsuit filed Feb 12 claims Costco’s Lincoln Premium Poultry plant in Fremont, Nebraska has consistently failed USDA salmonella safety standards, allegedly sending contaminated chickens nationwide. The suit seeks damages for customers who purchased rotisserie or raw chicken parts after Jan 1, 2019.

1. Lawsuit Allegations

On Feb 12 a proposed class action was filed in federal court in Seattle by plaintiff Lisa Taylor, alleging that Costco’s Lincoln Premium Poultry plant shipped salmonella-contaminated chickens nationwide and violated consumer trust.

2. Plant Safety Record

A study by Farm Forward alleges the Fremont, Nebraska processing plant repeatedly failed USDA salmonella safety standards year after year, sending unsafe rotisserie and raw chickens to stores across the U.S.

3. Product Role and Impact

Costco’s $4.99 rotisserie chicken, sold in 157 million units worldwide in 2025, serves as a key loss-leader; potential damage awards cover purchases dating back to Jan 1, 2019 and could dent foot traffic and brand reputation.

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