Federal Judge OKs Part of Price-Fixing Lawsuit Against Kennett Square Mushroom Growers
U.S. District Judge Berle M. Schiller allowed supermarket chain Winn-Dixie to proceed with some of its claims against members of the Eastern Mushroom Marketing Cooperative—a consortium of mushroom growers including some based in Kennett Square—while dismissing other claims.
April 09, 2019 at 03:57 PM
3 minute read
A lawsuit alleging that several Kennett Square mushroom farms conspired with other growers to jack up mushroom prices can move forward, in part, a federal judge has ruled.
U.S. District Judge Berle M. Schiller of the Eastern District of Pennsylvania allowed Florida-based supermarket chain Winn-Dixie to proceed with some of its claims against members of the Eastern Mushroom Marketing Cooperative—a consortium of mushroom growers including some based in Kennett Square—while dismissing other claims.
Winn-Dixie and co-plaintiff Bi-Lo markets claimed that the mushroom farms violated the Sherman Antitrust Act by engaging in “naked price-fixing and conspired among themselves and in conjunction with [non-EMMC member] distributors to set artificially inflated [mushroom] prices,” according to Schiller's opinion.
The plaintiffs also accused the cooperative of “'meeting and agreeing to fix the price of Agaricus mushrooms' and 'by collectively interfering with, penalizing and retaliating against any non-EMMC growers that sought to sell at prices that were below the artificially-inflated prices set by EMMC,'” Schiller said.
In requesting dismissal of the lawsuit, the defendants claimed the plaintiffs' allegations were not specific enough to move forward, claiming that there are no differences in the allegations against the cooperative and the individual member farms.
But Schiller said that in the early stages of the litigation, it didn't matter.
“Winn-Dixie plaintiffs have furnished a clue as to which of the EMMC members allegedly agreed to the alleged conspiratorial scheme and 'when and where the illicit agreement took place,” Schiller said. “At this stage of the litigation, the court must accept these allegations as true.”
He added, “Whether Winn-Dixie plaintiffs can ultimately prove that each EMMC-member defendant participated identically—as alleged—in the antitrust violations is not a question for resolution at this stage of the litigation.”
However, Schiller did dismiss Winn-Dixie's claims that the members of EMMC sought to establish a monopoly over the mushroom market. He also dismissed claims against several farms over Winn-Dixie's failure to properly serve complaints to them within 90 days.
Patrick Ahern of the Chicago firm Ahern and Associates represents Winn-Dixie and declined to comment on Schiller's ruling.
H. Laddie Montague of Berger Montague in Philadelphia represents the mushroom growers and did not respond to a request for comment.
Winn-Dixie's mushroom antitrust case has been ongoing since December 2015 and is separate from a nationwide class action filed against the EMMC. The class action has resulted in settlements between some growers and plaintiffs.
This content has been archived. It is available through our partners, LexisNexis® and Bloomberg Law.
To view this content, please continue to their sites.
Not a Lexis Subscriber?
Subscribe Now
Not a Bloomberg Law Subscriber?
Subscribe Now
NOT FOR REPRINT
© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
You Might Like
View AllPlaintiffs Seek Redo of First Trial Over Medical Device Plant's Emissions
4 minute readRemembering Am Law 100 Firm Founder and 'Force of Nature' Stephen Cozen
5 minute readEckert Seamans Snags Reed Smith Global Financial Intelligence Director
3 minute readTrending Stories
- 1Authenticating Electronic Signatures
- 2'Fulfilled Her Purpose on the Court': Presiding Judge M. Yvette Miller Is 'Ready for a New Challenge'
- 3Litigation Leaders: Greenspoon Marder’s Beth-Ann Krimsky on What Makes Her Team ‘Prepared, Compassionate and Wicked Smart’
- 4A Look Back at High-Profile Hires in Big Law From Federal Government
- 5Grabbing Market Share From Rivals, Law Firms Ramped Up Group Lateral Hires
Who Got The Work
Michael G. Bongiorno, Andrew Scott Dulberg and Elizabeth E. Driscoll from Wilmer Cutler Pickering Hale and Dorr have stepped in to represent Symbotic Inc., an A.I.-enabled technology platform that focuses on increasing supply chain efficiency, and other defendants in a pending shareholder derivative lawsuit. The case, filed Oct. 2 in Massachusetts District Court by the Brown Law Firm on behalf of Stephen Austen, accuses certain officers and directors of misleading investors in regard to Symbotic's potential for margin growth by failing to disclose that the company was not equipped to timely deploy its systems or manage expenses through project delays. The case, assigned to U.S. District Judge Nathaniel M. Gorton, is 1:24-cv-12522, Austen v. Cohen et al.
Who Got The Work
Edmund Polubinski and Marie Killmond of Davis Polk & Wardwell have entered appearances for data platform software development company MongoDB and other defendants in a pending shareholder derivative lawsuit. The action, filed Oct. 7 in New York Southern District Court by the Brown Law Firm, accuses the company's directors and/or officers of falsely expressing confidence in the company’s restructuring of its sales incentive plan and downplaying the severity of decreases in its upfront commitments. The case is 1:24-cv-07594, Roy v. Ittycheria et al.
Who Got The Work
Amy O. Bruchs and Kurt F. Ellison of Michael Best & Friedrich have entered appearances for Epic Systems Corp. in a pending employment discrimination lawsuit. The suit was filed Sept. 7 in Wisconsin Western District Court by Levine Eisberner LLC and Siri & Glimstad on behalf of a project manager who claims that he was wrongfully terminated after applying for a religious exemption to the defendant's COVID-19 vaccine mandate. The case, assigned to U.S. Magistrate Judge Anita Marie Boor, is 3:24-cv-00630, Secker, Nathan v. Epic Systems Corporation.
Who Got The Work
David X. Sullivan, Thomas J. Finn and Gregory A. Hall from McCarter & English have entered appearances for Sunrun Installation Services in a pending civil rights lawsuit. The complaint was filed Sept. 4 in Connecticut District Court by attorney Robert M. Berke on behalf of former employee George Edward Steins, who was arrested and charged with employing an unregistered home improvement salesperson. The complaint alleges that had Sunrun informed the Connecticut Department of Consumer Protection that the plaintiff's employment had ended in 2017 and that he no longer held Sunrun's home improvement contractor license, he would not have been hit with charges, which were dismissed in May 2024. The case, assigned to U.S. District Judge Jeffrey A. Meyer, is 3:24-cv-01423, Steins v. Sunrun, Inc. et al.
Who Got The Work
Greenberg Traurig shareholder Joshua L. Raskin has entered an appearance for boohoo.com UK Ltd. in a pending patent infringement lawsuit. The suit, filed Sept. 3 in Texas Eastern District Court by Rozier Hardt McDonough on behalf of Alto Dynamics, asserts five patents related to an online shopping platform. The case, assigned to U.S. District Judge Rodney Gilstrap, is 2:24-cv-00719, Alto Dynamics, LLC v. boohoo.com UK Limited.
Featured Firms
Law Offices of Gary Martin Hays & Associates, P.C.
(470) 294-1674
Law Offices of Mark E. Salomone
(857) 444-6468
Smith & Hassler
(713) 739-1250