At first glance, Stanziale v. MILK072011, looks like someone suing over a bad expiration date and conjures up images of Ron Burgundy proclaiming “milk was a bad choice.” But in actuality Stanziale is much more interesting: it answers whether one can breach their fiduciary duty by exposing an employer to a claim under the aptly-named WARN Act, which requires employers to tip off their workers to a possible job loss.
In Stanziale, a chapter 7 bankruptcy trustee sued, among others, MILK — the owner of the debtor-employer, Golden Guernsey Dairy (Dairy), which operated a dairy and milk processing facility in Wisconsin, and Dairy’s former president and one of its managers (who later started working for MILK).
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