Tyson moves to dismiss Easterday lawsuit over ‘Cody’s Beef’
Published 11:45 am Wednesday, February 8, 2023

- Cody Easterday talks about receiving and preparing livestock on the Easterday Farms feedlot for Tyson Foods in Pasco, Wash., during the Washington Beef Commission's Explore Beef Experience tour June 1.
Tyson Fresh Meats has moved to dismiss a lawsuit by Cody Easterday, calling claims that it reneged on a business deal with the imprisoned cattleman “remarkably implausible.”
The meat-packer filed the motion last week in federal court in Eastern Washington, responding to allegations it promoted “Cody’s Beef” in Japan, but didn’t share the profits with Easterday.
Easterday has no standing to sue, especially after stealing $233 million by billing for cattle that never existed, Tyson argues.
Tyson also argues that it did business with Easterday Ranches, not Cody Easterday. All claims between Easterday Ranches and Tyson were settled in bankruptcy court, according to Tyson.
Easterday’s attorney, Charles R. Macedo, said in an email Tuesday that Tyson raised standard arguments made in a motion to dismiss.
“We believe our response will demonstrate that Mr. Easterday has properly pled the causes of action raised in the complaint,” he said.
Easterday, who was president and part-owner of Easterday Ranches, is serving an 11-year term for wire fraud at a federal prison in Lompoc, Calif. He agreed to repay Tyson $233 million and a second victim, Segale Properties of Tukwila, Wash., $11 million.
By liquidating his family’s ranching and farming empire in southeast Washington, Easterday has repaid some of the money, but still owes Tyson $177.1 million and Segale $7.5 million.
Shortly before being sentenced in November, Easterday claimed that he entered into a venture with Tyson to feature his face and ranch to promote “Cody’s Beef” to Japanese consumers.
Easterday estimated he was owed $100 million. In court filings, Tyson called the marketing campaign “short term and ultimately not very successful.”
Easterday followed through on his claims, initially made in criminal court, by suing Tyson, alleging the company violated an oral contract and enriched itself at his expense.
In its motion to dismiss, Tyson alleges Easterday is trying to do an end-run around bankruptcy proceedings to reduce the amount he owes the company.
Easterday’s “unclean hands” undermines his argument that Tyson was unjustly enriched, according to the motion.
Tyson contracted with Easterday to buy and feed cattle for its Pasco beef plant. Easterday billed Tyson for about 265,000 head of “ghost cattle,” according to federal prosecutors.
Segale invested in Easterday’s cattle-feeding business.
Easterday attributed his actions to a gambling addiction that led to huge losses betting on the future price of cattle.