Leprino Foods Trial: Nine Key Takeaways As the Second Half Begins

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Leprino Foods Trial: Nine Key Takeaways As the Second Half Begins
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Nancy and Mary Leprino are seeking $600 million to $900 million in damages.

The Leprino Foods trial, which started on November 28,

is halfway through, and there’s already been tears on the witness stand, a dramatic motion for mistrial, and big-dollar figures being thrown around. Leprino Foods is a private, Denver-based company that holds monopoly power over the mozzarella cheese industry. At the center of the case is its reclusive billionaire owner, James"Jim" Leprino, who, along with his two daughters, is being sued by nieces Nancy and Mary Leprino over a 2017 special distribution of tax-free money made to shareholders. Last week,“This is a case about spite”

That’s how attorney David P. Hersh, of Burg Simpson Eldredge Hersh & Jardine PC, described it in his opening statement representing minority stakeholders Nancy and Mary Leprino. He traces the root of that spite to 1965, when Jim and Michael Jr.’s father insisted the brothers exchange 25 percent of each other’s business. According to Hersh, Michael Sr. insisted on this to provide the younger brother, Jim, with a financial safety net in case the cheese business failed.

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