WATERLOO - Oily rags were behind the June 2007 fire that extensively damaged Sunnyside Country Club.

Now the club's insurance carrier is going after the makers of the oil in an effort to recover its losses.

United Fire & Casualty Co. filed a suit against Asoyia Inc., an Iowa City-based soybean oil manufacturer, in Black Hawk County District Court May 19.

United Fire alleges Asoyia Inc. failed to include warnings that rags used to clean up its product - Ultra Low Lin Soybean Oil - can catch fire even after being laundered.

"The foreseeable risks of harm posed by the cooking oil could have been reduced or avoided by the provision of reasonable instructions or warnings, namely warning of the danger associated with spontaneous combustion of recently laundered towels," states the lawsuit filed by attorney Sean O'Brien of Des Moines.

Officials with Asoyia couldn't be reached for comment Thursday and hadn't filed a formal response in court.

In 1992, the Consumer Product Safety Commission and the U.S. Fire Administration warned consumers to dispose of oily cloths and paper towels in trash containers placed in ventilated areas. The warning noted cloths used to clean large amounts of cooking oil can spontaneously catch fire if heated, and normal laundering may not remove all traces of oil.

Sunnyside Country Club bought Asoyia's oil from a distributor, and towels soiled by wiping down the cooking equipment were cleaned in a washer and dryer in the lower level of the clubhouse.

Some of the rags were washed and dried on the night of June 17, 2007, and then placed unfolded in a plastic laundry basket in a storage room, according to the lawsuit.

The fire started sometime in the early morning hours of June 18, 2007.

The cost of the claim wasn't available, but United Fire said it made substantial payments to Sunnyside, and the clubhouse was closed for about a year.

It reopened in July 2008 following a $4.5 million renovation that expanded the building, according to Courier files.