Panda Express parent company ordered to pay over $1M for violating California safety laws
Panda Express restaurant sign in Lafayette, California, October 20, 2022. (Photo by Gado/Getty Images)
RIVERSIDE COUNTY, Calif. - The parent company of the Panda Express restaurant chain has been ordered to pay over $1 million in penalties and costs to resolve violations of California's Hazardous Materials Business Plan laws.
Panda Restaurant Group, Inc. was sued by a coalition of 37 district attorneys and two city attorneys for allegedly failing to provide mandatory employee training on the safe handling of carbon dioxide used in its fountain beverage systems across its 500-plus California locations.
What we know:
A stipulated judgment was filed on November 20 against Panda Express Restaurant Group, Inc to resolve violations of California's hazardous materials business plan laws.
The civil lawsuit, filed in Riverside County Superior Court, resulted from an investigation into the unlawful handling of hazardous materials, specifically carbon dioxide, at over 500 California restaurant locations, including over 30 in Riverside County.
The Hazard
Panda Express restaurants use carbon dioxide in tanks for their carbonated fountain beverage systems. If not handled properly, carbon dioxide can leak unnoticed, displacing oxygen and potentially resulting in serious health effects or death.
The Allegation
The lawsuit alleged that instead of properly training restaurant personnel in carbon dioxide handling, Panda Express employees were not receiving the required safety training. The company was also accused of failing to accurately and completely disclose employee training information to local regulators.
The Result
The settlement was reached after Panda Express took steps to come into compliance by properly training its employees and updating training records.
By the numbers:
Panda express was ordered to pay a total of over $1 million, broken down into three components:
Civil Penalties: $881,925
Supplemental Environmental Projects: $100,000
Cost Reimbursement: $75,000
Total Payment: $1,056,925
Local perspective:
The lawsuit was a joint effort led by district attorney Mike Hestrin of Riverside County and joined by district attorneys from 37 other counties and two city attorneys.
The investigation involved multiple district attorney's offices, including Marin, San Francisco, San Joaquin, and Solano.
What's next:
The settlement imposes injunctive terms, which require Panda Express to comply with chapter 6.95 of the California health and safety code at its restaurants throughout California during the next five years.
This law is designed to ensure the safety of first responders, employees, and customers regarding hazardous materials.
The Source: All factual information, including the specific allegations, the terms of the settlement, and the exact financial breakdown, is sourced directly from an official announcement made by Riverside County District Attorney Mike Hestrin and a coalition of 37 other California county and city attorney's offices. The report is based on the Stipulated Judgment filed in the Riverside County Superior Court civil lawsuit, "The People v. Panda Express Restaurant Group, Inc.,"which formally resolves the violations.