Cases Recently Settled—Dairy Price Fixing, BPA in Baby Bottles
Northeast dairy farmers have reportedly settled their price-fixing claims against
Dean Foods Co. for $30 million and injunctive relief requiring the company
to buy a portion of its raw milk from multiple sources. Allen v. Dairy Farmers of
America, No. __ (D. Vt., settlement reached December 24, 2010).
While the agreement requires court approval, it would reportedly allow some
5,000 to 10,000 farmers to file claims for monetary damages over allegations
that Dean Foods would buy milk only through Dairy Farmers of America (DFA)
and its affiliates in the region. According to counsel for the plaintiffs, the case
will continue against DFA, to resolve claims that “the nation’s largest cooperative
monopolized a level of distribution of fluid milk in the Northeast and forced dairy
farmers to join DFA or its marketing affiliate [Dairy Marketing Services] to survive.”
See DairyLine.com, December 24, 2010; Worcester Business Journal, December 27,
2010; and Burlington Free Press, December 28, 2010.
A baby bottle manufacturer has reportedly agreed to settle multidistrict litigation
(MDL) claims that it and other companies failed to adequately disclose the presence
of bisphenol A (BPA) in their products. In re: Bisphenol-A Polycarbonate Plastic
Prods. Liab. Litig., MDL No. 1967 (W.D. Mo., settlement filed January
3, 2011). Philips Electronics North America Corps., which makes baby bottles
and “sippy cups,” has apparently agreed to provide refunds or vouchers for other
company products to consumers who file a claim and will not knowingly produce
products containing BPA for at least four years. Vouchers will be provided to
consumers who lack proof of purchase, and the amount to be paid out to these
class members will not exceed $3 million. Each of the 19 named plaintiffs will
reportedly receive $1,000, and the company has agreed to pay $2.5 million in
legal fees.
Meanwhile, the Environmental Protection Agency has apparently submitted
for White House Office of Management & Budget review its plan to test BPA for
“potential endocrine-related adverse effects in environmental organisms at
low concentrations.” The agency reportedly plans to issue a notice of proposed
rulemaking related to the toxicity testing by October 2011. See Inside EPA, January
4, 2011.
