Class Action Lawsuits Target U.S. Egg Producers Over Price Fixing Allegations

In November 2022, several class action lawsuits were filed against major U.S. egg producers, including Cal-Maine Foods, Rose Acre Farms, Versova Holdings, Daybreak Foods, and multiple Hillandale Farms companies. The lawsuits, initiated in federal courts in Indiana, Wisconsin, and Illinois, accuse these companies of violating U.S. antitrust laws by fixing egg prices. The plaintiffs argue that the producers manipulated pricing through Urner Barry Publications and other agencies, leading to artificially inflated prices for consumers and commercial buyers.

The Post-Crescent

The lawsuits follow a significant increase in egg prices that began in 2022, attributed by producers to an avian flu outbreak that reportedly decimated chicken populations. However, the plaintiffs contend that the actual reduction in flocks was modest and that feed and fuel costs declined during this period. They assert that the price hikes cannot be solely explained by the bird flu, especially when compared to Europe, which experienced larger supply losses but only modest price increases.

The Post-Crescent

The lawsuits claim that the egg industry is "structurally susceptible to collusion," with producers allegedly providing selective or misleading pricing information to set elevated benchmarks. The first lawsuit filed by King Kullen Grocery, a New York-based supermarket chain, states that price-fixing occurred between January 2022 and March 2025, culminating in an all-time high of $6.23 per dozen eggs in March 2025. Following the announcement of a U.S. Justice Department investigation into the matter, wholesale egg prices reportedly dropped by over 60% in April 2025.

The Post-Crescent

The egg producers have yet to publicly respond to the specific allegations made in the lawsuits. However, Agriculture Secretary Brooke Rollins from the Trump administration has highlighted a significant drop in egg prices, claiming an 86% decrease over ten months. Rollins emphasized that the administration is focused on affordability measures, framing the price drops as part of broader economic successes. Critics, including Senator Elizabeth Warren, have countered that rising grocery prices and other economic challenges persist, attributing these issues to Trump's tariffs and policies.

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Critics of the egg producers argue that the lawsuits reveal a troubling pattern of price manipulation that harms consumers. They emphasize that the producers' claims regarding the avian flu do not align with the dramatic price increases observed in the U.S. market. Additionally, some economists warn of a broader affordability crisis, citing persistent inflation and rising costs in other grocery staples, despite the reported decreases in egg prices.

The Post-Crescent

While the lawsuits allege significant price manipulation, the egg producers have not yet provided a detailed defense against these claims. There is also a discrepancy in how the avian flu's impact on supply is characterized, with plaintiffs asserting that the effects were overstated compared to actual market conditions. Further investigation by the U.S. Justice Department may clarify these issues in the future.

The Post-Crescent

• “Defendants’ manipulation of the Urner Barry benchmark allowed them to sustain ever-increasing price hikes on their customers,” — Class Action Lawsuit

The Post-Crescent

• “‘Brooke, we're not going to have plastic eggs at the Easter Egg Roll at the White House. Go get the price of eggs down.'” — Agriculture Secretary Brooke Rollins

Benzinga

• “) said families face record-high grocery prices, overwhelmed food banks, and potential SNAP cuts under the GOP, blaming Trump's tariffs for rising costs and vowing to fight the cuts to keep families fed.” — Senator Elizabeth Warren

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