Antitrust Law Daily Wrap Up, WORTH NOTING—Other Antitrust and Trade Regulation developments, (Feb 20, 2015)
Organizations Mentioned:American Antitrust Institute | Sysco
A periodic roundup of other items of interest to the Antitrust and Trade Regulation community.
ANTITRUST NEWS: The American Antitrust Institute (AAI) is praising the FTC’s challenge of the proposed merger of food service companies Sysco and US Foods. The AAI has advocated against the proposed merger since it was first proposed. "We are impressed on two counts," said AAI President Diana Moss. “The FTC has recognized that not all deals can be fixed, and the Commission is moving to protect competition in our critical food supply chain, which has suffered from undue concentration and 'domino-like' consolidation."
CONSUMER PROTECTION NEWS: Following a July 2014 settlement with Canadian marketers over the sale of dietary supplements deceptively marketed as “fat burning” and “calorie blocking,” the FTC on February 20, 2015 began mailing over 11,585 refund checks, totaling more than $464,000 to affected consumers. The Double Shot supplements had been marketed to U.S consumers from 2012 through October 2013 with the false claim that they would cause rapid, substantial, and permanent weight loss without diet or exercise.
ANTITRUST NEWS: The FTC’s lawsuit challenging the proposed merger of food service companies Sysco and US Foods has been joined by the Attorneys General of California, Illinois, Iowa, Maryland, Minnesota, Nebraska, Ohio, Virginia, Pennsylvania, Tennessee, and the District of Columbia. Commenting on the lawsuit, Ohio Attorney General Mike DeWine said “If an industry’s top two competitors merge, it reduces competition and creates the potential for higher prices in that industry...We don’t want institutions like schools, hospitals, and restaurants to have fewer food delivery options which would lead to higher prices.” Maryland Attorney General Brian E. Frosh added: “Competition in the marketplace benefits consumers by encouraging businesses to provide better and more affordable goods and services...This proposed merger would reduce competition, and could have a big impact for Marylanders dining out, as well as for food service providers.”
News: AcquisitionsMergers Antitrust ConsumerProtection