Lombard Trading International Corp. has filed a lawsuit against Sadot Group, Inc. and Sadot Latam, LLC accusing the companies of failing to pay a $7.4 million invoice for a shipment of soybean meal.
The lawsuit, filed in the Circuit Court of Miami-Dade County’s Complex Business Division, alleges that farm supplies company Sadot Group, which has increasingly been engaged in questionable leftist corporate policies, breached an agreement regarding the September 2024 payment for 20,000 metric tons of soybean meal.
“This action arises from a wrongful scheme undertaken by Defendants Sadot Group to deprive Plaintiff Lombard of its property including $7,442,799.88 payment for the shipment of 20,000 metric tons of Soybean Meal,” the lawsuit reads.
Lombard claims the payment, due on Sept. 11, 2024, was never made, prompting Lombard to seek legal action.
The plaintiffs claim that despite an attempt to resolve the payment issue with a written agreement on Oct. 17, 2024, the defendants have yet to honor their financial obligation, according to the complaint.
“Defendants Sadot Group have breached and have not paid Lombard $7,442,799.88 due and owing plus accrued interest,” the lawsuit reads. “The Defendants Sadot Group have admitted to their obligation to pay Lombard and have breached their obligations to pay Lombard the $7,442,799.88 due and owing plus accrued interest.”
Lombard claims to have suffered substantial financial harm as a result of the breach, and is seeking relief for account stated, unjust enrichment, conversion, fraud, and conspiracy.
Lombard's complaint further accuses Sadot Group of knowingly failing to meet its obligations, with the company admitting to owing the payment but not fulfilling it.
The lawsuit seeks damages in excess of $7 million, plus pre-judgment and post-judgment interest, legal costs, and attorney fees.
Michael J. Roper is the current CEO of Sadot Group, Inc., a position he has held since May 2018. Roper previously served as CEO of Taco Bueno from 2015 to 2017
On its website Sadot touts its “sustainable” practices and engagement in controversial environmental, social and governance funds.
“Food security and ESG are key initiatives at the core of Sadot Group's commercial aspirations,” Sadot’s website reads.
In a filing with the Securities and Exchange Committee (SEC) Sadot Group, Inc. laid out objectives of its Sustainability Committee including reviewing and making recommendations to the Board on the Company's policies and performance related to the environment, climate change, human rights, historical cultural heritage and land access as well as ESG.
Critics argue ESG undermines financial performance in favor of political considerations. Subsequently, resistance to ESG investing has been gaining momentum in Republican-led states, with several state legislatures considering measures to prevent asset managers from prioritizing ESG goals over financial returns.
Model legislation seeks to limit the influence of major asset managers, such as BlackRock, who have incorporated ESG factors like climate change into their investment strategies.
“ESG hurts everyone—from customers to employees, employers to investors,” the Heritage Foundation states. ”Under ESG, traditional American energy like oil and gas is punished and the Left’s ‘woke’ cultural agenda is implemented from the boardroom down to the factory floor. This agenda is being pushed by green activists, woke culture warriors, global elites, and the big businesses they control.”