US: Judge OKs US$75m settlement in egg antitrust suit

Last week, a judge signed off on a US$75 million settlement from Michael Foods, a subsidiary of packaged food producing giant Post to settle claims against it in the egg antitrust litigation in federal court.

The settlement, reached nearly a year ago, was given final approval on November 17 by US District Judge Gene E.K. Pratter of the Eastern District of Pennsylvania, the presiding judge in the litigation. The class action, brought by direct purchasers and suppliers of eggs, continues against other defendants.

“The proposed settlement agreement is fair, reasonable, and adequate. Accordingly, the court grants plaintiffs’ motion for final approval of the class action settlement with defendant Michael Foods,” Pratter wrote in her opinion.

The class action, which Pratter certified in September 2015, claims the nation’s major egg producers were involved in a conspiracy to control and limit the supply of eggs in an effort to increase prices, allegedly through short-term production restrictions, such as slaughtering hens early, a pretextual animal welfare program and a “calculated” series of exports of eggs at below-market prices.

Full Content: Law

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