Tyson and Cargill Agree to Settlement in Beef Price Fixing Lawsuit
Many of you may have gotten the email in the days after Christmas: “If you purchased beef products between Aug. 1, 2014 and Dec. 31, 2019 … you may be entitled to a cash payment from settlements.”
The email told of the partial settlement of an antitrust class action lawsuit that claims several beef processors — including JBS, Cargill, National Beef and Tyson Foods — conspired to limit the supply of beef in that five-year period to increase prices in the market.
Two of the defendants — Tyson Foods/Tyson Fresh Meats and Cargill Inc./Cargill Meat Solutions — agreed to settlements totaling $87.5 million ($55 million from Tyson and $32.5 million from Cargill) to resolve the claims against them. They also agreed to certain non-monetary relief.
“The plaintiffs (consumers) allege that the defendants entered into a market allocation agreement and stopped competing against each other for market share,” according to www.overchargedforbeef.com, a website set up and managed by the third-party settlement administrator. “The alleged purpose and effect of this agreement was to increase their profit margins and increase the price consumers paid for beef.”
The announcement says the settlement covers fresh or frozen beef made from chuck, loin, rib or round primal cuts. Not covered are premium (USDA Prime, organic, 100% grass-fed, Wagyu, "American-Style Kobe Beef") specialty (No Antibiotics Ever, antibiotic-free, kosher, halal, certified humane) and processed (ground, marinated, seasoned, flavored, breaded, or cooked beef). Details regarding the different beef products included in the settlement are at www.overchargedforbeef.com.
The meat had to be bought in one of the following states: Arizona, California, District of Columbia, Florida, Illinois, Iowa, Kansas, Massachusetts, Maine, Michigan, Minnesota, Missouri, Montana, Nebraska, Nevada, New Hampshire, New Mexico, New York, North Carolina, North Dakota, Oregon, Rhode Island, South Dakota, Tennessee, Utah, West Virginia and Wisconsin.
The notice acknowledges the products were "indirectly purchased," meaning they were bought from a grocery store, not directly from one of the defendants.
JBS USA Food Co. and its affiliates Swift Beef Co. and JBS Packerland Inc., plus National Beef Packing Co. have not settled and are continuing to defend themselves against the claims, according to the website.
The website noted the court has not determined that JBS or National Beef did anything wrong, and both companies deny all allegations of wrongdoing.
Consumers have until June 30, 2026 to submit a claim form. The U.S. District Court for the District of Minnesota will hold a hearing on May 12 to decide whether to officially approve the settlements, the amount of attorneys' fees and any service awards.
About the Author
Dave Fusaro
Editor in Chief
Dave Fusaro has served as editor in chief of Food Processing magazine since 2003. Dave has 30 years experience in food & beverage industry journalism and has won several national ASBPE writing awards for his Food Processing stories. Dave has been interviewed on CNN, quoted in national newspapers and he authored a 200-page market research report on the milk industry. Formerly an award-winning newspaper reporter who specialized in business writing, he holds a BA in journalism from Marquette University. Prior to joining Food Processing, Dave was Editor-In-Chief of Dairy Foods and was Managing Editor of Prepared Foods.
