Masonite Interior Doors May Be Part of Price Fixing Scheme

Purchasers of interior molded doors may have been impacted by a price fixing scheme involving Masonite interior doors, according to recent allegations.

Jeld-Wen and Masonite are two of the largest companies in North America that manufacture interior doors. Together, the two companies have an 85 percent share of the market for interior molded doors. Additionally, they are the only companies in North America that manufacture doorskins, the wrapping around the composite wood which makes up the bulk of the molded door.

A recent price fixing class action lawsuit claims that the two companies conspired to fix the price of Jeld-Wen and Masonite interior doors.

Between 2001 and 2012, Jeld-Wen and Masonite acquired numerous other, smaller interior door manufacturers, further securing their hold on the market.

“In furtherance of the conspiracy, Masonite announced in 2014 it would no longer sell doorskins to other door manufacturers,” the antitrust lawsuit states. “This unprecedented shift in business practice was plainly against Masonite’s own economic interests, as it handed over that entire market to Jeld-Wen.”

Following the shift, Jeld-Wen allegedly began making lower quality, cheaper products while also raising the prices of their doorskins. Because Jeld-Wen and Masonite had eliminated any competition against them, the plaintiffs claim they were allegedly able to raise prices unchecked.

The Masonite interior doors class action claims that executives from both of the companies met and agreed on new pricing structures to be put into place in 2012, in blatant violation of federal antitrust laws.

In a healthy market, competition between companies encourages them to offer high quality products to their consumers at a competitive price. If a company starts to charge too much, healthy competition in the market will capitalize and attract their customers. Without competition, companies are free to inflate products regardless of the quality of the products.

The suit also argues that the conspiracy is made obvious by Masonite’s actions. When Jeld-Wen raised prices, Masonite interior doors could have easily been sold for a lower price to ensure a profit for the company. However, the company allegedly followed the agreed upon price fixing scheme in order to promote their shared interests.

The alleged price fixing scheme can have serious effects on a variety of consumers. Direct purchasers, which are companies that buy Jeld-Wen or Masonite interior doors to sell at retail price, are damaged because they are forced to purchase the doors at a higher price. They then have to resell the doors at a higher retail price in order to make a profit, which may upset consumers.

The antitrust class action aims to hold the companies accountable for the price fixing of Jeld-Wen and Masonite interior doors. The suit may be able to recover damages which could help mitigate the financial hardship forced on direct purchasers by the alleged price fixing scheme. Additionally, if the complaint results in a judgment which holds the companies accountable for violating antitrust laws, they would be unable to continue price fixing behaviors in the future.

Join a Free Interior Molded Doors Class Action Lawsuit Investigation

If you own or work for a company that sold Jeld-Wen and/or Masonite interior molded doors from October 2012 to the present or if you purchased the doors from a retailer, you may have been the victim of an antitrust price-fixing conspiracy. Legal help is available.

Learn More