Panda Express to pay over $1 million to end litigation locally, elsewhere
City News Service
RIVERSIDE, Calif. (KESQ) – A lawsuit spearheaded by the Riverside County District Attorney’s Office against Panda Express Restaurant Group Inc. over the alleged mishandling of sensitive substances was settled for $1.056 million, which the corporation will pay to Riverside and other counties, along with implementation of a program to correct past deficiencies, it was announced today.
The settlement agreement, which includes civil penalties and an injunction, was reached after roughly three months of litigation, all of which took place in Riverside. The stipulated judgment was agreed to by the defendant and plaintiffs on Nov. 20. Along with Riverside County, district attorney’s offices from 37 other counties were involved.
The principal investigators behind the civil action originated from Riverside, Marin, San Joaquin and Solano counties.
The suit stemmed from “the unlawful handling of hazardous materials, specifically carbon dioxide … at (Panda Express’) 500-plus California restaurant locations, including over 30 in Riverside County,” according to the D.A.’s office.
“Panda Express restaurants use carbon dioxide for their carbonated fountain beverage systems,” the agency stated. “Carbon dioxide is typically stored in tanks on-site and is widely used by restaurants. Carbon dioxide is safe if handled properly.”
Prosecutors alleged that Panda Express employees had not received appropriate training in storage and management of the naturally occurring gas.
The defendant did not immediately respond to requests for comment.
Under the settlement agreement, the corporation will pay $881,925 in penalties, $100,000 to cover supplemental projects and $75,000 in general reimbursement for the plaintiffs’ legal expenses. Riverside County’s share of the aggregate payout will be $273,980.
Panda Express further agreed to abide by the terms of a Certified Unified Program Agency, provided under California Health & Safety Code section 25404. That’s part of an injunction mandating implementation of revised training protocols for employees and other compliance measures to ensure proper management of hazardous substances at all its restaurants.