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Missouri farmers sue Tyson Foods for breach of contract after plant closure

The documents allege that Tyson, knowing that the Missouri plant would soon be closed, repeatedly convinced farmers to invest more and more.

STODDARD COUNTY, Missouri — According to a lawsuit filed in Missouri, three chicken egg farmers have filed a breach of contract lawsuit against Tyson Foods, Inc. based in Springdale, over the 2023 closure of a Dexter, Missouri plant.

Although Tyson "owned all the chickens throughout the [process of] hatching, growing, and slaughtering ... Farmers [were contracted] to care for the chickens through every step," according to the lawsuit. "These farmers ... were induced to invest millions of dollars to build and maintain chicken houses, maintain ownership of the land, provide equipment, and pay for labor."

With this in mind, the farmers made these investments "based on repeated representations and promises that [Tyson] would continue to operate [the plant]," according to the lawsuit.

The documents allege that Tyson, knowing that the Missouri plant would soon be closed, repeatedly convinced farmers to "make additional investments and incur additional debts," ahead of the announcement, "breaking their word and causing severe damages to the farmers."

Tyson enters into poultry growing agreements with "thousands of growers, mainly small, family-owned operations," according to the lawsuit. "Tyson exerted enormous financial control ... the farms could only be used for services to Tyson alone."

The documents also report that Tyson "forced farmers to operate under the pressure of great debt that could only be paid down by continuing to work for Tyson ... Farmers were never able to pay off their debts ... Tyson had a massive amount of power, undue influence, and control over the farmers."

The farmers are demanding Tyson face a jury trial under the charges laid out in the lawsuit, but no specific repayment amount is listed.

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