Smithfield Foods Inc. has sued its insurance company for failure to cover a court award of $100 million to residents who complained about hog manure odours.
The $100-million award is also undergoing a court appeal.
The insurance company claims its policies do not cover Murphy-Brown hog-farming operations, owned by Smithfield, for manure odours.
Smithfield argues the policies do cover all issues related to manure.
Matters vary across the United States. In Illinois and Arkansas pollution is covered by insurance; in Minnesota manure odours are not included.
The situation is not yet clear in North Carolina where the hog manure odours in question arose.