Candle company files antitrust class action against fragrance manufacturers

The Candle antitrust class action overview: 

• Who: A candle company has filed a class action lawsuit against four global fragrance manufacturers.
• Why: The plaintiff says the companies conspire to increase prices and reduce competition in the U.S. fragrance retail market.
• Where: The candle antitrust class action was filed in a New Jersey federal court. 
• What are my options: Macy’s offers candles in a variety of fragrances. 

A New York candle company has filed an antitrust class action lawsuit against four global fragrance manufacturers, alleging the companies conspired to increase prices and reduce competition in the U.S. fragrance retail market.

Plaintiff Our Own Candle Co. Inc. filed the class action lawsuit against manufacturers Givaudan SA, International Flavors & Fragrances Inc., Symrise AG and Firmenich SA on April 18 in a New Jersey federal court, alleging violations of antitrust laws.

According to the lawsuit, the four companies conspired to increase prices and reduce competition of fragrance products sold to U.S. retailers.

Since January 2018, the companies have conspired to raise and fix the prices of fragrance products in a violation of antitrust laws under the Sherman Act, Our Own Candle Co. alleges.

While the companies may initially have raised prices because of the rising cost of raw materials, they continued to fix prices even after the cost of materials began to fall, Our Own Candle Co. states.

Consumers would not have known if it wasn’t for investigation, lawsuit states

The company adds the companies raising their prices in quick succession prompted an investigation by international authorities. It says consumers would not have known about the alleged violation of antitrust laws if it wasn’t for the investigation. 

The plaintiff adds that the four companies have dominated the fragrance industry for more than 100 years and that their collective market share of the fragrance compound market is over 70%.

As a result, Our Own Candle Co. is seeking to represent all U.S. persons or companies that purchased fragrance products from the four companies and their subsidiaries since Jan. 1, 2018. 

It seeks certification of the class action, damages, fees, costs and a jury trial, as well as an order forcing the four companies to stop fixing prices.

Large companies operating in the U.S. have paid a total of $96 billion in fines and settlements stemming from antitrust penalties since 2000, according to a corporate research project by national policy research center Good Jobs First. 

What do you think of the antitrust allegations in this case? Let us know in the comments.

Our Own is represented by James E. Cecchi of Carella Byrne Cecchi Olstein Brody & Agnello PC, Linda P. Nussbaum and Susan R. Schwaiger of Nussbaum Law Group PC and Arthur N. Bailey of Rupp Pfalzgraf LLC.

The Our Own Candle Co. fragrances class action lawsuit is Our Own Candle Co. Inc. v. Givaudan SA, et al., Case No. 2:23-cv-02174, in the U.S. District Court for the District of New Jersey. 

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