A federal judge has dismissed a price-fixing lawsuit alleging the Big Four packers conspired to fix beef prices and widen margins between the cost of live cattle and beef.
A group of cattle ranchers brought suit in October of last year, claiming the packers violated the Sherman Act and the Packers and Stockyards Act and caused a drop in cattle prices in 2015.
Judge John R. Tunheim in the District Court for the District of Minnesota ruled on Aug. 17 the ranchers lacked standing in their suit and dismissed it. The judge ruled there were too many stages in the beef supply chain to attribute the loss in cattle prices to the packers.
“Moreover, there is a significant lag between when plaintiffs sell calves and when defendants purchase the cattle, which the court finds weighs against standing in this case,” Tunheim said.
The ranchers are unable to immediately amend the complaint and will instead have to write to the court to gain approval first.
