Judge Approves $35M Baby Products Antitrust Settlement

UPDATE 2/20/13: An appeals court has vacated the $35 million Toys “R” Us Babies Product Class Action Settlement over concerns it did not fairly compensate consumers. All payments under the settlement will be halted until a new settlement distribution plan is reached, if at all. Keep checking Top Class Actions for updates.

 

A federal judge has approved a $35.5 million class action lawsuit settlement with Babies ‘R’ Us and seven of the top baby product manufacturers who were accused in 2006 of violating antitrust law by illegally conspiring together to raise the prices on their products.

U.S. District Judge Anita B. Brody of the Eastern District of Pennsylvania approved the baby products antitrust settlement, saying the alleged conspiracy between Babies ‘R’ Us and the manufacturers to restrict competition by requiring all retailers to sell their goods at or above a minimum resale price caused consumers to pay inflated prices for the baby products.

The manufacturers named in the class action lawsuit as Defendants are Britax Child Safety, Inc.; Peg Perego USA, Inc.; BabyBjörn AB; Regal Lager, Inc.; Medela, Inc.; Maclaren USA, Inc. and Kids Line LLC.

The baby products antitrust class action settlement will provide $35.5 million in refunds to consumers who bought certain products from Babies ‘R’ Us between 2001 and 2006. In addition, Judge Brody awarded $11.75 million in fees and $2.23 million in costs to the Plaintiffs’ counsel.

The deadline to file a claim for the Babies ‘R’ Us Baby Products Class Action Settlement was August 1, 2011.