Fast food giant McDonald’s is taking legal action against the “Big Four” meat packers in the U.S. – Tyson, JBS, Cargill, and National Beef Packing Company. The lawsuit accuses the companies of engaging in a price fixing scheme for beef, limiting supply to boost prices and charging inflated amounts. McDonald’s claims that this behavior has created a monopoly in the beef market, forcing buyers to purchase at dictated prices. The suit alleges that the conspiracy dates back nearly a decade and violates federal antitrust laws.
The accused meat packers have faced similar allegations in the past, with lawsuits from various parties still pending. In recent years, JBS settled a beef price-fixing lawsuit for $52.5 million and Tyson agreed to pay $221.5 million to settle claims of inflated chicken prices. However, these settlements did not come with admissions of wrongdoing.
The meat packers have denied engaging in anticompetitive behavior, attributing price increases to supply and demand factors. McDonald’s lawsuit seeks to hold the companies accountable for their alleged collusion in the beef market. The accused companies have not responded to the lawsuit as of yet. This legal battle sheds light on the ongoing fight against price fixing and anticompetitive practices in the meat industry.
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