Tyson Foods Settles Pork Price-Fixing Claims for $48 Million

Tyson Foods has agreed to pay $48 million to resolve a class action lawsuit filed by U.S. food service companies, which accused the company of conspiring to restrict pork supply and fix prices. The proposed settlement was filed in federal court in Minnesota and awaits approval from U.S. District Judge John Tunheim. This settlement is the largest to date in the ongoing litigation concerning price-fixing in the meat industry.

Tyson to pay $48 million to resolve price-fixing claims by pork buyers

The lawsuit involves various plaintiffs, including notable entities like LongHorn Steakhouse, who purchased pork products from Tyson and other suppliers between 2014 and 2018. The allegations claim that Tyson and other defendants provided a consulting firm with sensitive pricing and sales data, which was allegedly used to manipulate market prices. Tyson Foods, the largest meat producer in the U.S., has denied any wrongdoing in this matter.

Tyson to pay $48 million to resolve price-fixing claims by pork buyers

This settlement is part of a broader series of legal actions against major meat producers, including Smithfield and JBS, who have also faced similar allegations. Smithfield agreed to pay $42 million in 2022, while JBS settled for $12.7 million in 2021. Tyson has previously settled other related lawsuits, including an $85 million agreement to resolve a consumer class action regarding inflated pork prices and an $82.5 million settlement concerning beef price-fixing claims.

Tyson to pay $48 million to resolve price-fixing claims by pork buyers

Michael Flannery, a lead attorney for the plaintiffs, stated that the resolution represents "another positive step in our ongoing effort to achieve a fair result for our clients." Tyson Foods has not issued a comment regarding this specific settlement.

Tyson to pay $48 million to resolve price-fixing claims by pork buyers

While the settlement may be viewed as a step towards accountability, critics argue that such financial penalties may not sufficiently deter future price-fixing behavior in the meat industry. The ongoing litigation reflects broader concerns about market manipulation and its impact on consumers and smaller businesses.

Tyson to pay $48 million to resolve price-fixing claims by pork buyers

The settlement requires judicial approval, and if granted, it will conclude this particular class action. However, the broader implications of price-fixing allegations in the meat industry continue to unfold, with other lawsuits and investigations likely to follow as regulatory scrutiny increases.

Tyson to pay $48 million to resolve price-fixing claims by pork buyers

• “is another positive step in our ongoing effort to achieve a fair result for our clients.” — Michael Flannery, Lead Attorney for Plaintiffs.

Tyson to pay $48 million to resolve price-fixing claims by pork buyers