Jun 24, 2015Potato price-fixing lawsuit remains unsettled
The announcement by the U.S. District Court for the District of Idaho of preliminary approval of a $25 million negotiated settlement of an antitrust class action lawsuit does not mean an end to the issue.
The suit alleged that United Potato Growers of America (UPGA), United Potato Growers of Idaho (UPGI) and independent potato growers engaged in price-fixing.
One of the plaintiffs, Associated Wholesale Grocers (AWG), issued a press release stating that it is not a part of the settlement.
AWG continues to pursue its state and federal antitrust claims against Idaho growers, marketers and processors of fresh and processed potatoes…. AWG’s direct action lawsuit is not part of the class action settlement,” the press release stated.
Jerry Wright, president and CEO of UPGA, said that the settlement clarifies for potato growers nationwide protected activities under the Capper-Volstead Act of 1922 and ensures a path forward for UPGA and its constituent members, including UPGI.
“Potato growers have steadfastly maintained that they did not participate in any illegal activity or wrongdoing,” he said.
“This agreement does not limit UPGA activities like data gathering, dissemination of information and production recommendations,” Wright said.
“This is a structured settlement with the direct and indirect plaintiffs. The courts are now establishing provisions under which other plaintiffs may choose to opt out of the settlement,” he said.
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