News flash==== MPEG/builds bite-encoder/with MAD COW
June 3, 1997
Rancher Sues Using Law Against Disparaging Food
By LAURA JERESKI Staff Reporter of THE WALL STREET JOURNAL
AMARILLO, Texas -- Oprah Winfrey's topic was mad-cow disease, and, as usual, the show was provocative. The segment opened by calling England's recent mad-cow outbreak "the biggest health crisis since Chernobyl."
Then, after a food-safety activist opined that mad cow posed a dire threat to America as well -- so dire it might make the AIDS crisis look like the common cold -- Ms. Winfrey exclaimed: "It has just stopped me from eating another burger!"
Granted, no mad-cow disease has ever been found in the U.S. And it is also true that suspicious human deaths in England haven't been definitively linked to mad cow. Still, Oprah and her guests are free to say things like this about American beef if they want to, aren't they?
Not if Paul Engler has anything to do with it. He runs a big cattle-feeding operation and ranch here. He watched in horror as prices of cattle and cattle futures plunged the day of the television show in April 1996. Mr. Engler says he lost $6.7 million in what came to be called "the Oprah crash." Now he wants his $6.7 million back.
Mr. Engler has sued Oprah, along with her production company and the beef critic on her show, national Humane Society official Howard Lyman. Another Texas cattleman also sued. "The way things are going, the media has too much latitude to say what they want to say," Mr. Engler says. "They are hiding behind the First Amendment."
If the media have the Amendment, Mr. Engler has a shield, too: Texas' False Disparagement of Perishable Food Products law. It is one of 13 state "agricultural disparagement" statutes passed in the eight years since the U.S. apple industry was pummeled by the Alar scare.
Apple growers sued CBS's "60 Minutes" and an environmental group over the report, which had said a chemical sprayed on some apples posed a cancer risk. Though many scientists later termed any such risk overblown, the apple growers lost the suit.
But they didn't have a food-disparagement law to rely on. By and large, the new state laws say a critic of agricultural products can be held liable if the criticism isn't based on "reliable scientific inquiry, facts, or data." As for what constitutes reliable science in the courtroom, the Supreme Court, in a case not involving product-disparagement laws, laid out some tests in 1993, including whether a theory had been published in a peer-reviewed journal.
Emory University Law Professor David Bederman, noting that the agricultural-disparagement laws put "the burden on the speaker to prove the truth" of what is said, contends they are "flagrantly unconstitutional." Mr. Engler's suit will test that. The case could come to trial as early as next month in federal court here.
The world Mr. Engler inhabits is far from that of television studios and Humane Society offices. Now 67 years old, he started his first ranch and cattle feed-lot on this wind-blown plain 40 years ago. Today he has an operation, Cactus Feeders Inc., with $650 million a year in revenue. He trades cattle futures to hedge the risks of the volatile business.
Sporting ostrich-leather boots and a diamond-rimmed gold ring with the Cactus Feeders logo, Mr. Engler runs his operation from an office festooned with trophies such as one labeled Grand Carcass Champion of 1993. Cactus Feeders won the prize at a competition hosted by a local meatpacker.
The Oprah guest who riled Mr. Engler had once been a cattleman himself, but had a change of heart. The Humane Society's Mr. Lyman was a Montana rancher for years. But now the 58-year-old Mr. Lyman heads a Humane Society program known as "Eating With Conscience."
After two other guests told Ms. Winfrey there was no mad-cow threat in the U.S., Mr. Lyman brought up the issue of supplementing cattle feed with the ground-up remains of livestock and other animals that died natural deaths, which feed-lot operators do to give cattle extra minerals and protein. Mr. Lyman said that "100,000 cows per year in the United States are fine at night, dead in the morning. The majority of those cows are rounded up, ground up, fed back to other cows. If only one of them has mad-cow disease, that has the potential to infect thousands."
After Ms. Winfrey asked him how he knew this was true, and he assured her it was, she asked her audience if that didn't concern them. It did, they replied vociferously. That was when she exclaimed that she wouldn't eat another burger -- triggering another rousing reaction from the audience. After outraged protests from cattle people, Ms. Winfrey gave them a chance to defend beef on a later program.
Mr. Engler wasn't mollified. "Can you believe what she did?" he demanded of a lawyer friend.
Mr. Engler concedes that he used to give his cattle grain supplemented with bone meal from ground-up animals. But he says he and many other cattlemen have stopped. And as of next month, it will be illegal in the U.S. to feed to cud-chewing animals such as cattle and sheep the remains of other cud-chewers.
Negative publicity for beef is something cattlemen don't need more of. Amid worries such as cholesterol, they suffered through years of declines in per capita beef consumption in America. Lately, cyclically weak cattle prices have made their lot even harder. "If I lose one consumer of beef, that's part of my market I'll never recover," Mr. Engler says.
A group called the American Feed Industry Association led the fight for the new laws to protect farm products after the Alar-on-apples debacle. The Texas Cattle Feeders Association lobbied for such a law in Texas. Among its board members: Paul Engler.
After the Oprah show, the law came in handy. He filed suit, naming not only Ms. Winfrey but also her Chicago production company, Harpo Productions Inc., and the show's distributor, King World Productions Inc., along with Mr. Lyman. The suit was filed in state court but has been transferred to federal court in Amarillo. The other cattleman's suit has been consolidated with it.
Bumper Sticker
Mr. Engler reads all the legal papers and listens in on his lawyers' conference calls; they call him only half-jokingly the "lead counsel."
The suit drew an outpouring of support from the like-minded. State Agriculture Commissioner Rick Perry congratulated Mr. Engler for his approach, telling him: "Don't argue. Go over and blow the hell out of them." A small Arkansas rancher with just five cows sent a $5 check -- to help with legal fees, he suggested, or buy some beer to toast the lawsuit. Another supporter faxed Mr. Engler a message that found its way onto bumpers in Amarillo: "The Only Mad Cow in America is Oprah."
Ms. Winfrey won't talk about the case. A lawyer representing her, Charles L. Babcock, scoffs at the cattleman's damage claim. Cattle markets can be mercurial and respond to many things. "To isolate a single show and say that's the reason the whole market fell is a little much for me to swallow," he says.
In February, the defense team rolled a photocopier into Mr. Engler's office and spent a week copying details of his futures-trading strategy, his cattle numbers and the content of his feed.
Mr. Lyman, asked if he is concerned about the suit, says, "Why should I be afraid when I supposedly have a First Amendment right to free speech?"
Hard to Be Sure
Normally, a trial on an issue like this would feature a parade of scientific "experts." But the statute says only reliable science will do. And one of the striking things about mad-cow disease is how little reliable science there is about it.
Mad cow makes an animal's brain look like a sponge. Hence its technical name: transmissible spongiform encephalopathy. In March of last year, the British government said 10 deaths from a similar human malady, a new variant of a rare disease called Creutzfeldt-Jakob, were "most likely" a result of eating mad-cow-contaminated beef. The news devastated Britain's cattle industry.
Mr. Engler hopes that if his case comes to trial, the dearth of agreed-upon science about mad cow will pre-empt expert testimony from the other side. The two sides are talking about a possible settlement. Mr. Engler says he doesn't want an apology; he wants the money he says he lost when markets nose dived after Ms. Winfrey and her guest lit into American beef.
But what about the country's 200-year-old guarantee of freedom of speech? Well, says Mr. Engler's son Michael, "We have adjusted our thinking on the Constitution in other ways. Maybe the First Amendment isn't carved in stone." |