{"id":225260,"date":"2026-05-08T23:06:20","date_gmt":"2026-05-08T23:06:20","guid":{"rendered":"https:\/\/www.newsbeep.com\/us-ny\/225260\/"},"modified":"2026-05-08T23:06:20","modified_gmt":"2026-05-08T23:06:20","slug":"justice-dept-settles-case-against-provider-of-meat-industry-data","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/us-ny\/225260\/","title":{"rendered":"Justice Dept. Settles Case Against Provider of Meat Industry Data"},"content":{"rendered":"<p class=\"css-ac37hb evys1bk0\">The Justice Department has filed a <a class=\"css-yywogo\" href=\"https:\/\/www.justice.gov\/atr\/media\/1439906\/dl?inline\" title=\"\" rel=\"noopener noreferrer nofollow\" target=\"_blank\">proposed settlement<\/a> in its antitrust lawsuit against Agri Stats, a data provider and consulting company for meat processors, saying the move would lower food prices and increase competition in the meat industry.<\/p>\n<p class=\"css-ac37hb evys1bk0\">Agri Stats operated information exchanges where rivals like Tyson Foods, Perdue Farms and Smithfield Foods provided granular, up-to-date costs, prices and other data. In return, the companies received somewhat anonymized reports.<\/p>\n<p class=\"css-ac37hb evys1bk0\">The Justice Department said meat processors had used that information to limit supply and increase prices, all without having to communicate with one another directly.<\/p>\n<p class=\"css-ac37hb evys1bk0\">The settlement, which includes a $350,000 fine, still needs approval by the judge overseeing the case. It would force Agri Stats to sell its reports to anyone, including grocery stores and food supply companies that buy large amounts of meat. It would also prohibit Agri Stats from reporting certain cost and sales data, and restrict its ability to report certain plant-level and up-to-date information.<\/p>\n<p class=\"css-ac37hb evys1bk0\">With midterm elections coming this year and American consumers growing frustrated with rising costs, the Trump administration said the Agri Stats case was just the first step in reining in the large agribusinesses that control much of the food industry.<\/p>\n<p class=\"css-ac37hb evys1bk0\">\u201cThis Department of Justice is laser-focused on making everyday life affordable for all Americans,\u201d said Todd Blanche, the acting attorney general, in a <a class=\"css-yywogo\" href=\"https:\/\/www.justice.gov\/opa\/pr\/justice-department-requires-agri-stats-end-exchange-competitively-sensitive-information\" title=\"\" rel=\"noopener noreferrer nofollow\" target=\"_blank\">statement<\/a> announcing the settlement on Thursday.<\/p>\n<p class=\"css-ac37hb evys1bk0\">According to the department\u2019s complaint, which was filed in 2023 under the Biden administration, one executive of Smithfield, the largest pork processor in the United States, summarized Agri Stats\u2019 advice this way: \u201cJust raise your price.\u201d<\/p>\n<p class=\"css-ac37hb evys1bk0\">Agri Stats, which is based in Fort Wayne, Ind., previously operated in the pork, turkey and chicken industries, but suspended the pork and turkey information exchanges because of private antitrust lawsuits. The settlement would largely apply to the chicken industry.<\/p>\n<p class=\"css-ac37hb evys1bk0\">The case was scheduled to go to trial this month. Six states, including California and Texas, joined the lawsuit against Agri Stats and signed on to the proposed settlement.<\/p>\n<p class=\"css-ac37hb evys1bk0\">\u201cThis settlement proves the department\u2019s commitment to promoting transparency in the marketplace, enforcing the law and delivering real relief for American consumers at the grocery store,\u201d Stanley Woodward, who oversees the Justice Department\u2019s antitrust division as the associate attorney general, said in the department statement.<\/p>\n<p class=\"css-ac37hb evys1bk0\">Agri Stats, which has about 70 employees, argued that it was a small company being picked on by the Justice Department, and that its work lowered meat prices by helping processors operate more efficiently. In a <a class=\"css-yywogo\" href=\"https:\/\/www.agristats.com\/dojsettlement\/\" title=\"\" rel=\"noopener noreferrer nofollow\" target=\"_blank\">statement<\/a> responding to the proposed settlement, the company\u2019s president, Eric Scholer, said chicken processors made only about 4 cents of profit per pound of meat sold.<\/p>\n<p class=\"css-ac37hb evys1bk0\">\u201cThe only way those companies can continue to keep prices low for consumers and remain in business is to make their operations as efficient as possible, and Agri Stats helps them to do exactly that,\u201d Mr. Scholer said.<\/p>\n<p class=\"css-ac37hb evys1bk0\">Agri Stats, which did not admit any wrongdoing as part of the settlement, would be subject to its terms for 10 years.<\/p>\n<p class=\"css-ac37hb evys1bk0\">The settlement is the latest by the Justice Department in a case it inherited from the Biden administration. Top Biden antitrust enforcers <a class=\"css-yywogo\" href=\"https:\/\/www.justice.gov\/archives\/opa\/speech\/assistant-attorney-general-jonathan-kanter-antitrust-division-delivers-remarks-new-york\" title=\"\" rel=\"noopener noreferrer nofollow\" target=\"_blank\">said<\/a> litigating lawsuits against companies was important even if they lost the case in a courtroom.<\/p>\n<p class=\"css-ac37hb evys1bk0\">In March, the department <a class=\"css-yywogo\" href=\"https:\/\/www.nytimes.com\/2026\/03\/09\/arts\/music\/live-nation-ticketmaster-antitrust-suit-settled.html\" title=\"\" rel=\"nofollow noopener\" target=\"_blank\">settled<\/a> a long-running lawsuit that accused Live Nation, the owner of Ticketmaster, of abusing its power as a monopoly. A group of state attorneys general objected to the settlement and <a class=\"css-yywogo\" href=\"https:\/\/www.nytimes.com\/2026\/04\/15\/arts\/music\/live-nation-antitrust-trial-verdict-monopoly.html\" title=\"\" rel=\"nofollow noopener\" target=\"_blank\">secured a jury verdict<\/a> against the company last month. Trump appointees also settled lawsuits against the software firm RealPage, which was accused of facilitating collusion among landlords to raise rents, and Amazon, which the Federal Trade Commission said had made it hard for consumers to cancel its Prime subscription service.<\/p>\n<p class=\"css-ac37hb evys1bk0\">The Agri Stats settlement was criticized by groups that favor more robust antitrust enforcement against corporate concentration.<\/p>\n<p class=\"css-ac37hb evys1bk0\">\u201cThe message being sent here is to collude more discreetly,\u201d said Lee Hepner, the senior legal counsel for the American Economic Liberties Project. By not taking the case to trial or seeking to prohibit Agri Stats from sharing any information at all, he said, the Justice Department is giving up the ability to set an important precedent across industries.<\/p>\n<p class=\"css-ac37hb evys1bk0\">\u201cThere is an Agri Stats in every industry in this economy,\u201d Mr. Hepner said. \u201cThis case was designed to reframe how we think about information exchanges as one of the root causes in how we think about price hikes and the cartelization of our economy.\u201d<\/p>\n<p class=\"css-ac37hb evys1bk0\">The Justice Department could soon bring a number of agricultural antitrust cases. At a <a class=\"css-yywogo\" href=\"https:\/\/www.youtube.com\/watch?v=TBUhtLsV9ak\" title=\"\" rel=\"noopener noreferrer nofollow\" target=\"_blank\">news conference<\/a> on Monday, Mr. Blanche confirmed that the department was investigating the beef industry, where, he said, four companies control about 85 percent of the market.<\/p>\n<p class=\"css-ac37hb evys1bk0\">\u201cThe current market structure and high concentration in the industry indicate anticompetitive activity,\u201d Mr. Blanche said. The department has reviewed more than three million documents and contacted hundreds of ranchers, cattlemen and meat processors as part of its investigation.<\/p>\n<p class=\"css-ac37hb evys1bk0\">The Justice Department has also signed a memorandum of agreement with the Agriculture Department to share information on competition within the seed and fertilizer industry, where just a handful of companies control most of the market, and began <a class=\"css-yywogo\" href=\"https:\/\/www.nytimes.com\/2025\/03\/07\/business\/us-egg-prices-investigation.html\" title=\"\" rel=\"nofollow noopener\" target=\"_blank\">investigating major egg producers<\/a> last year after egg prices soared.<\/p>\n<p class=\"css-1n7yjps etfikam0\">David McCabe contributed reporting.<\/p>\n","protected":false},"excerpt":{"rendered":"The Justice Department has filed a proposed settlement in its antitrust lawsuit against Agri Stats, a data provider&hellip;\n","protected":false},"author":2,"featured_media":225261,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[6],"tags":[83553,88539,88537,24442,1070,88544,1082,88543,19572,88538,9,11,10,88540,81965,88541,11771,24443,88542],"class_list":["post-225260","post","type-post","status-publish","format-standard","has-post-thumbnail","category-new-york","tag-agriculture-and-farming","tag-american-economic-liberties-project","tag-antitrust-laws-and-competition-issues","tag-blanche","tag-food","tag-jonathan-s","tag-justice-department","tag-kanter","tag-meat","tag-meatpacking-plants-and-slaughterhouses","tag-new-york","tag-new-york-headlines","tag-new-york-news","tag-perdue-farms-inc","tag-poultry","tag-smithfield-foods-inc","tag-suits-and-litigation-civil","tag-todd-attorney","tag-tyson-foods-inc"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/posts\/225260","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/comments?post=225260"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/posts\/225260\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/media\/225261"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/media?parent=225260"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/categories?post=225260"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/tags?post=225260"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}