Tyson Chicken Flap Nears Settlement

A judge has given preliminary approval to a settlement in a lawsuit that involves the nation's largest poultry producer, Tyson Foods Inc.

The company would pay consumers $5 million in refunds to settle a lawsuit accusing the company of falsely claiming that its chickens were “raised without antibiotics.”

A federal judge on Friday signed off the deal that would giving consumers refunds of up to $50 to anyone who bought poultry that was labeled as free of antibiotics. Arkansas-based Tyson denies any wrongdoing under the deal.

The judge in the case, Richard D. Bennett, did say, however, that he doubted he would approve $3 million in plaintiffs' attorneys' fees and court costs that would be paid by the company under the deal.

A final decision is expected May 7.