Perdue Farms defeats turkey price-fixing claims

By Mike Scarcella

- A federal judge in Chicago has rejected price-fixing claims against Perdue Farms and Foster Farms in antitrust class actions alleging turkey producers conspired to restrict supply and raise prices. The court also said purchasers could advance to trial in related cases against Butterball and other companies.

Here are the details:

  • Some of the top turkey producers in the United States are facing a series of class actions alleging price inflation. The plaintiffs include grocery stores and restaurants.

  • U.S. District Judge Sunil Harjani granted summary judgment for Perdue and Foster, ruling that plaintiffs failed to present enough evidence that either company joined an agreement to restrict supply.

  • Harjani said “evidence showing that Perdue was aware of, and even benefited from, the other defendants’ agreement does not show that Perdue joined that agreement.” The judge also said “there is insufficient evidence that Foster communicated with its competitors to support a reasonable inference of an agreement.”

  • The judge ruled turkey purchasers can head to a jury trial in October against Butterball and several other companies.

  • Perdue and Butterball have denied any wrongdoing. Butterball declined to comment about Harjani’s order. Perdue did not immediately respond to a request for comment.

  • Harjani suggested the plaintiffs could face an uphill battle at trial, saying “the evidence is far from overwhelming” against the remaining defendants.

  • Tyson and several other companies earlier settled claims against them. The settling producers also denied any wrongdoing.

  • Meat producers in the chicken, beef and pork industries have been battling price-fixing claims for years in federal courts, leading to some settlements and a series of trials.

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