A PYMNTS Company

US: Potato growers reach $25 million antitrust settlement

By  |  June 21, 2015

A potato growers’ cooperative has agreed to pay $25 million to settle allegations it violated antitrust law by acting as a cartel to raise prices.

Under the deal, which was granted preliminary approval by a federal judge on June 17, the United Potato Growers of America and affiliated companies and organizations must pay $19.5 million to grocers and $5.5 million to consumers.

Beginning in 2010, the cooperative and numerous growers became the target of numerous lawsuits by grocery companies and consumers for allegedly constraining potato production to artificially inflate prices.

The defendants have also agreed to cease any attempt to manage potato supplies for seven years.

Full content: Capital Press

Want more news? Subscribe to CPI’s free daily newsletter for more headlines and updates on antitrust developments around the world.