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(A) Because they may be contaminated with E. coli bacteria

They can refer to the product or store. Hence this is ambiguous.

(B) In case they are contaminated with E. coli bacteria

Illogical meaning.
They can refer to the product or store. Hence this is ambiguous.

(C) Because E. coli bacteria may have contaminated them

They can refer to the product or store. Hence this is ambiguous.

(D) Fearing the product’s contamination with E. coli bacteria

This is correct. Conveys the intended meaning.

(E) After having been contaminated with E. coli bacteria

Changes the meaning. Gives an impression that the store was contaminated.
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Because they may be contaminated with E. coli bacteria, several grocery stores are recalling Organic Spring Mix salads.

Solution:

(A) Because they may be contaminated with E. coli bacteria: "they" should be pointing to Organic Spring Mix salads, but written in this way points to several grocery stores. We want "they" to refer to Organic Spring Mix salads.

(B) In case they are contaminated with E. coli bacteria: " they" should be pointing to Organic Spring Mix salads, but written in this way points to several grocery stores. We want "they" to refer to Organic Spring Mix salads.

(C) Because E. coli bacteria may have contaminated them: "them" points to several grocery stores. What's contaminated are the Organic Spring Mix salads, not the grocery stores. We have to make the sentence in a way that suggests that the Organic Spring Mix salads are contaminated.

(D) Fearing the product’s contamination with E. coli bacteria: Correct.

(E) After having been contaminated with E. coli bacteria: This suggests that several grocery stores have already been contaminated and are recalling Organic Spring Mix salads. This is not what the sentence intends to say. We have to make the sentence in a way that suggests that the Organic Spring Mix salads are contaminated.
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Because they may be contaminated with E. coli bacteria , several grocery stores are recalling Organic Spring Mix salads.

(A) Because they may be contaminated with E. coli bacteria : Incorrect
(B) In case they are contaminated with E. coli bacteria : Incorrect
(C) Because E. coli bacteria may have contaminated them : Incorrect. 'them' creates ambiguity. Even if 'them' refers to salads, it's illogical to say that the stores are recalling salads because salads may have been contaminated. Why would the stores recall salads if salads are contaminated?
(D) Fearing the product’s contamination with E. coli bacteria : Correct. 'Fearing' correctly modifies 'stores' and the sentence conveys the intended meaning.
(E) After having been contaminated with E. coli bacteria : Incorrect. Stores are not contaminated.
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