Leggett & Platt to Settle Foam Price-Fixing Class Action Lawsuit

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Missouri-based furniture components supplier Leggett & Platt Inc. has agreed to settle a portion of multidistrict litigation (MDL) over allegations it conspired to fix prices on polyurethane foam, according to a court document released last week.

On Friday, U.S. District Judge Jack Zouhary issued an order staying the direct purchaser class action lawsuit against Leggett & Platt, indicating that the parties’ attorneys informed him of the proposed class action settlement agreement. “All deadlines in the Direct Purchaser Class are suspended as to Leggett & Platt,” the judge wrote. “Nothing in this Order stays any other actions in this MDL proceeding against Leggett & Platt.”

After several foam makers’ offices were raided by the Federal Bureau of Investigation and European Commission in 2010, several class action lawsuits were filed, accusing the companies of engaging in a conspiracy to fix the prices of polyurethane foam.

The polyurethane foam price-fixing class action lawsuit was initially filed by the direct purchaser Class in 2011. The direct purchasers claimed the foam makers coordinated the polyurethane foam price increases via telephone, letters and in-person meetings. They alleged the foam makers violated several laws, including the Sherman and Clayton Antitrust Acts.

In April, Judge Zouhary certified Classes of direct and indirect purchasers. He also designated Ace Foam Inc., Adams Foam Rubber Co., Cambridge of California Inc., Foam Factory Inc. and others as representatives for the direct purchaser class.

Leggett & Platt denies the allegations, but it has reportedly agreed to pay nearly $40 million to settle the class action lawsuit with direct purchasers to avoid the uncertainty and expense of litigation. This class action settlement comes nearly two years after Vitafoam Inc. and Vitafoam Products Canada Ltd. agreed to pay up to $15 million to settle its portion of the MDL with direct purchaser plaintiffs. Several class action lawsuits noted that Vitafoam was responsible for blowing the whistle on the alleged price-fixing conspiracy.

Further information about the Leggett & Platt foam price-fixing class action settlement was not immediately available. Keep checking TopClassActions.com or sign up for our free newsletter for the latest updates. You can also mark this article as a “Favorite” using your free Top Class Actions account to receive notifications when this article is updated.

The direct purchasers are represented by Quinn Emanuel Urquhart & Sullivan LLP and Boies Schiller & Flexnter LLP.

The Polyurethane Foam Price-Fixing MDL is In re: Polyurethane Foam Antitrust Litigation, Case No. 1:10-md-02196, in the U.S. District Court for the Northern District of Ohio, Western Division.

UPDATE: Instructions on how to file a claim for the flexible polyurethane foam class action settlement are now available! Click here or visit www.FlexiblePolyurethaneFoamSettlement.com for details.

UPDATE 2: If you purchased a product that contains flexible polyurethane foam, such a couch, mattress or carpet padding, you may be entitled to a cash payment from a class action settlement. Find out more here or visit www.PolyFoamClassAction.com for details.

UPDATE 3: On Nov. 20 2017, Top Class Actions viewers started receiving checks in the mail from the polyfoam indirect purchaser class action settlement worth as much as $234. Congratulations to everyone who filed a valid claim and got PAID!