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Tomatoes

Related Lawyers: Arthur N. Bailey, Jr., Michael P. Lehmann
Related Practice Areas: Antitrust / Competition

Bruce Foods Corporation v. SK Foods, LP, et al., Case No. 09-cv-00027, U.S.D.C. - 

Hausfeld is Co-Lead Counsel for a putative class of direct purchaser plaintiffs in this antitrust price-fixing class action in which plaintiffs allege that manufacturers of processed tomato products unlawfully conspired to fix prices in violation of the federal Sherman Act. Processed tomato products include tomato sauces, tomato paste, and diced tomatoes. Defendants collectively sell millions of dollars’ worth of processed tomato products to food product manufacturers in the United States each year. A United States Department of Justice investigation into alleged anti-competitive practices of the tomato processing industry, including allegations of price-fixing and bribery, resulted in five guilty pleas. The firm’s client is a food products manufacturer based in Louisiana.

On January 2, 2014, the Court preliminarily approved settlements with two of the Defendants, Ingomar Packing Company and Los Gatos Tomato Products, for a total of $6.4 million.  A hearing on final approval of settlements is scheduled for June 6, 2014.  A website containing further information on these settlements is located at www.processedtomatoeslitigation.com.   The remaining Defendant, SK Foods, L.P. has declared bankruptcy.  The Bankruptcy Court certified a Settlement Class and approved a share of recovery to the Class from the bankruptcy estate in the event assets become available for distribution. 

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