US: ConAgra, Trader Joe's sued for "antitrust violation"
ConAgra Foods denies antitrust allegations
Maxim Marketing Corporation has accused US food giant ConAgra Foods and local retailer Trader Joe's of breaking competition law and demanded damages of US$60m for the "destruction" of the group's peanut butter filled pocket pretzel business.
According to Maxim CEO Terry Kroll, the small California-based business had supplied Trader Joe's with peanut butter pocket pretzels for 25 years.
In 2013, the pretzel maker that supplied Maxim was bought out by ConAgra and subsequently cancelled its supply deal with the group. "Soon thereafter, ConAgra began selling the identical pretzels - down to the exact same bag - to Trader Joe's," Kroll said.
Maxim has filed a lawsuit with the Los Angeles County Superior Court for breach of contract, intentional interference with contractual relations and violation of California antitrust law.
"The lawsuit alleges that the actions of Trader Joe's and ConAgra breach a number of their obligations to Maxim and also violated California antitrust law, the Cartwright Act, which allows for treble damages and attorney's fees," Kroll said.
ConAgra insisted that the allegations contained in the lawsuit were groundless. "While we don't comment on pending litigation, we find this lawsuit to be without merit and intend to vigorously defend this litigation," a spokesperson for the company told just-food.
Trader Joe's was unavailable for comment at time of press.
MarketLine's Company Mergers & Acquisitions (M&A), Partnerships & Alliances and Investments reports offer a comprehensive breakdown of the organic and inorganic growth activity undertaken by an organi...
Synopsis Canadean's "ConAgra Foods, Inc. : Consumer Packaged Goods - Company Profile, SWOT & Financial Report" contains in depth information and data about the company and its operations. The profile ...
ConAgra Foods, Inc. (CAG) - Financial and Strategic SWOT Analysis Review provides you an in-depth strategic SWOT analysis of the company’s businesses and operations. The profile has been compiled by G...
In 2012 ConAgra Foods Inc unveiled its “Recipe for Growth”, and since then the company has achieved growth through the acquisition of Unilever’s PF Chang’s and Bertolli frozen ready meal brands, and t...
- On the move: What's in store from Tesco's new CEO?
- Focus: Lindt plays safe with Russell Stover buy
- just the answer: Birds Eye UK Margaret Jobling
- Comment: ConAgra failing to address core issues
- On the money: Steady as she goes at Cloetta
- Ferrero seals deal for hazelnut firm Oltan
- Campbell issues warning on 2014/15 fiscal year
- Premier launches Oxo pots range in UK
- Universal Robina to buy biscuit firm Griffin's
- Genius secures listings in French supermarkets