A proposed class action lawsuit alleges Costco misled customers by selling rotisserie and raw chicken products allegedly linked to persistent Salmonella contamination while promoting them as safe and high quality.
The lawsuit, filed Thursday, Feb. 12 in Seattle federal court, was brought by Costco member Lisa Taylor of Missouri on behalf of consumers nationwide who purchased the retailer’s chicken products.
The complaint alleges Costco violated consumer protection laws by failing to disclose food safety risks tied to its vertically integrated poultry supply chain, which produces the company’s popular rotisserie chickens and Kirkland-branded raw chicken.
According to the filing, USDA inspection data show Costco’s dedicated poultry facility in Fremont, Nebraska — operated by affiliate Lincoln Premium Poultry — has repeatedly exceeded allowable Salmonella contamination levels since opening in 2019.
The plant allegedly received the USDA’s lowest food safety rating in most reporting periods and failed monthly Salmonella tests from late 2023 through mid-2025, the complaint states.
The lawsuit contends those results would be material to consumers deciding whether to buy Costco chicken and argues the company misled shoppers by marketing its products as safe, wholesome, and subject to high quality standards.
The complaint further claims Costco’s business strategy to maintain its widely advertised $4.99 rotisserie chicken price contributed to cost-cutting measures that increased contamination risks, according to the filing. By controlling breeding, processing, and distribution, the company allegedly had full responsibility for poultry safety within its supply chain.
Salmonella is a leading cause of foodborne illness in the United States, and contaminated poultry is a primary source of infection. The lawsuit alleges Costco’s failure to disclose elevated contamination levels exposed customers to an increased risk of illness.
The proposed class action lawsuit asserts claims under the Washington Consumer Protection Act and for unjust enrichment. The plaintiff seeks certification of a nationwide class, monetary damages, restitution for chicken purchases, and court-ordered changes requiring improved testing and disclosure of contamination risks.
Puget Press has reached out to Costco for comment.
