Butter, Cheese Price-Fixing Class Action Lawsuit Certified

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Companies and consumers who claim that major dairy producers reduced milk output to drive up prices, managed to win certification of the proposed Class in a butter and cheese pricing class action lawsuit.

A website has been launched to inform those who purchased cheese or butter produced by certain dairy cooperatives between Dec. 6, 2008 through July 31, 2013, about their rights in the class action lawsuit.

While the website is live, it is not accepting claims yet. Top Class Actions will provide claim filing instructions as soon as they become available.

Meanwhile, viewers will receive an email notice when this article is updated with more information by using a free Top Class Actions account and clicking the “Follow Article” button at the top of the post.

The butter, cheese pricing class action lawsuit alleges that National Milk Producers Federation, Cooperatives Working Together (CWT), Dairy Farmers of America Inc., Land O’Lakes Inc. and Agri-Mark Inc., artificially inflated prices of butter and cheese.

According to the class action lawsuit, the defendants represent the majority of dairy farmers in the United States by use of various cooperatives that work to regulate the supply and price of raw milk.

The plaintiffs alleged that herds of milking cows were sent to slaughter as a part of a so-called “herd retirement program.” The amount of milk on the market was thereby reduced, leading to an increase in the cost of butter and cheese.

The Court has not ruled on the pending allegations that the defendants conspired to permanently reduce the price of raw milk and artificially raise the price for consumers and companies.

However, the Court certified a Class, including subclasses of consumers who purchased butter or cheese directly from any members of the CWT between Dec. 6, 2008 through July 31, 2013. A full list of CWT members is available here.

According to the butter and cheese pricing class action lawsuit, farmers were invited by the defendants to bid to enter the herd retirement program. The milk producers then paid farmers to send their herds to slaughter.

“The purpose and effect of the Defendants’ herd retirement program was to permanently eliminate competition in the supply of raw farm milk, to significantly reduce the number of producers competing in the markets for the production and sale of raw milk, to reduce the supply of raw farm milk and to thereby increase its ‘over-order’ price and artificially inflate the price paid by direct purchasers of raw milk, butter and cheese,” alleges the butter and cheese pricing class action lawsuit.

The plaintiffs allege that about 500,000 milk cows were eliminated as a part of the program, dropping raw milk output dramatically. This raised the price for direct purchasers of milk and other dairy products.

According to the butter, cheese pricing class action lawsuit, the herd retirement program will result in artificially high milk prices far into the future.

One expert concluded after studying the program that “each herd retirement round has effects that extend forward years into the future.”

According to the plaintiffs, this means that CWT and the other defendants will continue profit from this artificial drop in milk production and hike in price.

For more information about the butter and cheese pricing class action lawsuit, Class Members can call 1-855-804-8574 or send an email to info@ButterandCheeseClassAction.com.

The Class is represented by Don Barrett of Barrett Law Group PA, Dianne M. Nast of NastLaw LLC and Michael Roberts of Roberts Law Firm PA.

The Butter and Cheese Pricing Class Action Lawsuit is First Impressions Salon Inc., et al. v. National Milk Producers Federation, et al., Case No. 3:13-CV-00454-NJR-SCW, in the U.S. District Court for the Southern District of Illinois.

UPDATE: On Dec. 4, 2019, Dairy producers agreed to pay $220 million to resolve claims that they intentionally reduced the number of dairy cows to increase milk costs.