Costco’s Rotisserie Chicken Supply Plagued by Chronic Salmonella Contamination Problems, Class Action Alleges

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A proposed class action lawsuit alleges that Costco’s desire to minimize costs has sparked a “chronic, uncontrolled and unresolved” salmonella contamination problem within its Kirkland Signature rotisserie chicken supply, exposing consumers to a significant risk of foodborne illness.

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The 37-page lawsuit says that Costco’s poultry operation, based at the Lincoln Premium Poultry facility in Nebraska, has earned the United States Department of Agriculture’s (USDA) worst food safety rating—Category 3—in nearly all reporting periods since 2019. According to the suit, the plant failed every monthly salmonella test from late 2023 through mid-2025, “reflecting chronic, uncontrolled and unresolved contamination levels.”

The Costco class action lawsuit pins the apparent food safety crisis on “conscious business decisions,” which the suit claims stem from the retailer’s desire to keep its Kirkland rotisserie chickens at the $4.99 price point—without meaningfully disclosing to consumers the alleged litany of problems at its poultry production plant.

“What began as a strategy to keep prices low has spiraled into a serious public health concern,” the complaint emphasizes.

Salmonella is one of the top causes of foodborne illness, hospitalizations and death worldwide, including in the United States, the case relays. The pervasive nature of the bacteria allows them to spread quickly among chickens, especially when they are bred in dense flocks, the suit explains.

Per the filing, Costco’s chickens are raised in less-than-ideal conditions, despite what the case calls an “unprecedented level of vertical integration” that allows the defendant to wield complete control over the chicken supply chain.

“To maximize efficiency, Costco’s chickens are bred for rapid growth and raised in large, high-density flocks, circumstances that heighten stress and susceptibility to disease and facilitate the spread of pathogens within a flock,” the complaint alleges.

Related Reading: Costco Lawsuit Claims Rotisserie Chickens Are Not Free of Preservatives as Advertised

In 2019, the case relays, Costco began to source its chicken products in-house, rather than from other suppliers, after opening a $450 million poultry complex in Nebraska that included hatcheries, feed mills, breeder and grow-out barns, and slaughter and processing plants. The decision to open this plant, which now processes over 100 million chickens every year for Costco exclusively, came out of the wholesaler’s desire to vertically integrate and maintain control from egg-to-shelf with the goal to reduce overall costs, the suit claims.

However, Costco has reportedly failed to take responsibility for the quality control standards and food-safety safeguards set by the USDA to ensure the safety of consumption.

Indeed, the suit cites USDA inspection records that reveal that Costco has received a Category 3 rating in 92 percent of reporting periods, which signifies that the plant has exceeded allowable salmonella contamination rates, an effective failure.

Similarly, an October 2025 Consumer Reports study based on five years of data found Costco’s Nebraska plant to be one of the “most contaminated poultry plants” in the United States, the lawsuit adds.

This information is published for public and internal view, the case says. Despite its knowledge of salmonella contamination, Costco has continued to market its products as safe and sell them to consumers with no disclosures or warnings, the case alleges.

“In short, Costco has put its head in the sand—continuing to sell its ‘cheap Costco chicken’ while hoping consumers remain ignorant of the unreasonable risks that come with it,” the complaint summarizes.

The Costco rotisserie chicken class action lawsuit looks to represent all individuals in the United States and its territories who purchased a Kirkland Signature rotisserie chicken or raw chicken product sold by Costco for personal or household use at any time between January 1, 2019 and the present.

Learn all about the legal process: What is a class action lawsuit?