DOJ Antitrust Complaint Against Dean Foods Survives Dismissal Motion

A federal court in Wisconsin has reportedly denied the motion to dismiss filed by Dean Foods Co. in antitrust litigation brought by the U.S. Department of Justice (DOJ) and the attorneys general of three states, challenging the company’s acquisition of a milk producer in 2009. U.S. v. Dean Foods Co., No. 10-59 (E.D. Wis., filed January 2010). More details about the case can be found in issue 335 of this Update. While the court’s ruling rejects Dean Foods’ claim that the complaint lacked sufficient details, the court expressed some concerns about the government’s pleading, criticizing “structural issues” and “a lack of specificity in content.”

A Dean Foods spokesperson was quoted as saying,” We believe our acquisition of Foremost Farms is promoting competition in the region and has already produced benefits for consumers and farmers. We continue to believe that the government’s complaint against us is unfounded.” Noting the court’s “recognition of the ‘shortcomings’ of the plaintiffs’ pleadings, which the Court called ‘not well structured,’” the company indicated that it was looking forward to the discovery process. See FoodNavigator-USA.com, April 9, 2010.