The National Milk Producers Federation (NMPF) announced it has settled a class-action lawsuit brought by larger retailers and companies who purchased cheese and butter from members who participated in the Cooperative Working Together program for a whopping $220 million.
In 2016, NMPF settled a class-action lawsuit brought on behalf of consumers for $52 million.
The suits were bought following CWT’s Herd Retirement Program, which was an industry-financed herd buyout program that operated between 2003 and 2010. Plaintiffs in both suits alleged the program unfairly raised dairy product prices, costing consumers and food retailers millions of dollars.
This week’s $220 million settlement releases NMPF from all further claims by the plaintiffs. NMPF settled the case because it was at risk of even greater damages had the case gone to trial. “Based on antitrust rules that mandate a tripling of any damages, [the $220 million] is less than 6 percent of the damages sought by plaintiffs,” NMPF says in its release announcing the settlement.
Read the source article at dairyherd.com
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