I'm so sorry! That's the worst thing I've ever heard of! I'm not surprised you can't sue for very much, most states consider animals as property and you can only sue for their value. This means you can't sue vets for malpractice, or in this case, kennels for neglegt/wrongful death for more than their value as property. Unless you have an expensive pure bred dog, it isn't worth it.
Perhaps you can go to your state representitives and see if there is any interest in strengthening your states requirements for kennels to address the problems you encountered? And I'd keep going after the press, some reporter, news station, or paper somewhere might be interested in your story. And while your vet may not be able to warn clients against this specific kennel, maybe ask that they give a list of questions to ask and things to do (like signing aggrements for care and keeping copies) to pet owners.
I'm so lucky that I have a great kennel, it's run by and is next door to a vet clinic. All dogs are kept apart, the units have A/C with individual access to a fenced area (kind of like the kennel has it's own little fenced yard) so the dog can go in and out at will. No toys are given by the staff, but you can bring your own and they'll give those to your dog. For an extra charge you can have them put into "doggie day care" where they are allowed to run around with other day care dogs, safely suppervised, of course (that's why the extra charge). And even though they're great and I have no qualms about leaving Missy there, I always call halfway through my trip to see how she is doing, the staff never minds answering my questions.
If anyone is in the NW burbs of Chicago and wants to know more about my kennel, just PM me and I'll be happy to give your their contact info, including their website.