Gerber and Perrigo Sued for Artificially Driving Up Infant Formula Prices: We are Representing Consumers in a Class Action
On April 23rd, 2024, Reuters reported that Gerber and Perrigo—two of the nation’s largest infant formula manufacturers—are being sued for their role in artificially driving up the price at “store-brand” infant formulas at many major retailers, including Walmart and Walgreens. At Saltz Mongeluzzi Bendesky P.C., our attorney Simon B. Paris is representing plaintiffs in this claim (Thomas Conry et al v. Gerber Products Co et al). Within this article, our class action attorneys provide a more comprehensive overview of the key things to know about this case.
Gerber, Perrigo Inflated Infant Formula Prices (Antitrust Violation)
A proposed class action lawsuit has been filed in federal court against two of the largest infant formula manufacturers that serve the American market. Here are some of the most important points to understand about the proposed class action antitrust violation lawsuit:
- Defendants (Gerber and Perrigo): The defendants named in this proposed class action lawsuit are Gerber and Perrigo—two large infant formula makers. Gerber Products Company is a New Jersey-based maker of baby food and baby products. It is one of the largest manufacturers of infant formula in the United States. Perrigo Company plc is an American-Irish manufacturer of private-label over-the-counter health-related products, including infant formula. The majority of Perrigo’s revenue comes from the United States. However, the company is legally headquartered in Ireland. It is the largest manufacturer of “store-brand” infant formula.
- Plaintiffs (Four Consumers): There are four different plaintiffs in this case. One from California, one from Illinois, one from Michigan, and one from Pennsylvania. As a group, they are seeking to be certified as class representatives from millions more affected consumers in all 50 states and the District of Columbia. Notably, there is a somewhat similar proposed class action complaint that was filed against Gerber in a federal court in New York City.
- The Venue: The proposed class action lawsuit was filed on April 22nd, 2024 in a federal court in Alexandria, Virginia. (The United States District for the Eastern District of Virginia).
- The Claim: The proposed class action against infant formula manufacturers Gerber and Perrigo was filed on the grounds that the corporations unlawfully colluded to inflate the prices of store-brand infant formula. Indeed, the claim emphasizes that both companies violated antitrust laws by orchestrating a scheme that restricted open market competition. More specifically, Gerber is alleged to have granted Perrigo the “first right of refusal” on its surplus formula. It is important to understand that Perrigo is the largest manufacturer of store-brand infant formulas in the United States. That company serves many large retailers, including Wal-Mart and Walgreens. That is a big deal because, in effect, it prevented other competitors from accessing this stock and selling it under different retail brands. Damages are being sought on the grounds that the arrangement artificially raised prices for consumers. That is a violation of federal antitrust law.
Antitrust regulations are designed to protect consumers from unfair, anti-competitive trade practices by big businesses. When companies violate antitrust laws, it can drive up prices for ordinary families. These large corporations must be held accountable for unfair conduct.
Understanding the Requirements for a Federal Class Action Certification
A class action lawsuit in a federal antitrust claim will only be certified by the court if all applicable criteria are met. The requirements are set forth by Rule 23 of the Federal Rules of Civil Procedure. Here are three key things that must be established:
- Numerosity: The proposed class must be so large that individual lawsuits by all members would be impractical. In other words, a large number of consumers must be affected.
- Commonality: Next, there must be common questions of law or fact across the class members. These shared issues must be significant to the resolution of the entire lawsuit.
- Typicality: Finally, the claims or defenses of the class representatives—those who are leading the lawsuit on behalf of the class—must be typical of those of the entire class.
What Consumers Should Know About Joining this Lawsuit
Consumers considering joining a class-action lawsuit like the one against Gerber and Perrigo should understand a few key points. To start, participation is often automatic for affected individuals unless they actively opt out—meaning they are entitled to share in any settlement or judgment. It is a best practice to notify a law firm that you have a claim. Gather and preserve any documents, records, and information that you have related to the purchase of infant formulas over the past several years, especially store-brand infant formulas. If you have any specific questions or concerns about joining the proposed class action infant formula pricing lawsuit against Gerber and Perrigo, please do not hesitate to contact our law firm for immediate assistance.
Saltz Mongeluzzi Bendesky Attorney Simon Paris is Representing the Plaintiffs
Saltz Mongeluzzi Bendesky provides solutions-driven legal representation to plaintiffs in complex class action claims, including to consumers in antitrust cases. Our partner Simon B. Paris is actively representing consumers in the proposed class action case of Thomas Conry et al v. Gerber Products Co et al. Attorney Paris founded this law firm in 2007 and he has extensive experience in class action litigation, including securing a $23 million verdict for affected consumers in a defective product case. Our team fights for justice and the maximum financial compensation for consumers victimized by fraud, false advertising, defective products, and antitrust violations.
Contact Our Class Action Litigation Attorneys Today
At Saltz Mongeluzzi Bendesky P.C., our class action litigation attorneys are dedicated to protecting the legal rights and financial interests of consumers. Corporations must be held accountable. If you have any about the infant formula lawsuit against Gerber and Perrigo, we are here as a resource. Contact us today to arrange a free, no-obligation, and completely confidential initial consultation. With a main office in Philadelphia, we provide nationwide representation in class action lawsuits.