Injunction could halt cannery buy
A federal court in Boston could bar Massachusetts-based Live Lobster Co. from completing its acquisition of a shuttered Down East cannery.
A U.S. District Court judge has issued a preliminary injunction against Live Lobster Co. that stipulates any purchase agreements the company enters into are "subject to cancellation by order of this court," according to the Ellsworth American. The injunction was granted at the request of the company's former general manager and current minority shareholder Alan Brown, who has filed a lawsuit against Live Lobster for unfair termination. Live Lobster Co. President Antonio Bussone did not return a call from the paper. Gov. John Baldacci told the paper his office is aware of the case. Court records also show the company was sued in June by a former employee in Maine who was severely burned by a stove explosion aboard one of Live Lobster's vessels.
Chelsea-based Live Lobster Co. announced Aug. 4 it was purchasing the former Stinson Seafood cannery in Prospect Harbor from Bumble Bee Foods LLC and would turn it into a lobster processing facility. Last week, selectmen in the town voted against supporting a $400,000 federal grant for the project, worried about subsidizing competition for local lobster distributors.
Go to the article from the Ellsworth American >>
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