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Chick-fil-A sues poultry suppliers for price-fixing

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The chicken-sandwich giant alleged in a lawsuit filed in a federal court in Illinois that top chicken suppliers, including�Tyson Foods�Inc., Pilgrim�s Pride�Corp.,�Sanderson Farms�Inc. and Perdue Farms Inc., coordinated pricing for meat supplies and collectively reduced production to push up prices.

Posted on Dec 07 ,10:31

Chick-fil-A sues poultry suppliers for price-fixing

Chick-fil-A is seeking unspecified damages and to recoup legal fees, according to the lawsuit. Representatives for Tyson and Perdue said that Chick-fil-A’s claims were unfounded and that the companies would contest them.

The lawsuit adds one of the U.S. poultry industry’s biggest customers to a four-year legal battle over alleged collusion among companies that produce the bulk of the roughly 37 billion pounds of chicken consumed annually in the U.S.

Major supermarket operators and food-service distributors have filed civil suits alleging anticompetitive behavior, and this year the U.S. Justice Department indicted senior chicken-industry executives and sales officials on criminal charges of bid-rigging and price-fixing. The defendants have pleaded not guilty to the criminal charges, and major chicken companies are contesting the civil-court claims.

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