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JBS agrees to settle its portion of beef class action antitrust suit

JBS USA Food Company, Swift Beef Company, JBS Packerland, Inc., and JBS S.A. (collectively, "JBS") have agreed to settle a class action lawsuit brought against them by Cattle Plaintiffs who allege that defendants JBS, Tyson, Cargill, and National Beef — the four largest meat packers (the companies that buy fed cattle, slaughter, and process them into beef) — conspired to eliminate or reduce competition among them for the purchase of fed cattle (cattle finished on a high energy ration), thereby artificially reducing the price cattle feeders received for their fed cattle. Cattle Plaintiffs bring a separate, but related, claim under the Commodity Exchange Act (“CEA”), alleging Defendants manipulated the price of exchange-traded Live Cattle contracts traded on the Chicago Mercantile Exchange (“CME”).

Cattle Plaintiffs are Ranchers Cattlemen Action Legal Fund United Stockgrowers of America, Farmers Educational and Cooperative Union of America, Weinreis Brothers Partnership, Minatare Feedlot, Inc., Charles Weinreis, Eric Nelson, James Jensen d/b/a Lucky 7 Angus, and Richard Chambers as trustee of the Richard C. Chambers Living Trust.

JBS denies any liability, fault, or wrongdoing in connection with the allegations in the action.  f

JBS will pay $83,500,000 into a settlement fund to settle the class action antitrust, PSA, and CEA claims against them and to provide certain cooperation to Cattle Plaintiffs in this litigation against the remaining defendants and in to distribute the net settlement amount.

Cattlemen may be eligible to receive a payment if they directly sold to a defendant one or more fed cattle for slaughter from June 1, 2015, to Feb. 29, 2020, other than pursuant to a cost-plus agreement and/or a profit sharing agreement; and/or (ii) held a long position in live cattle futures traded on the CME prior to June 1, 2015, and liquidated the long position through an offsetting market transaction at any point prior to Nov. 1, 2016. To learn who the defendants and alleged co-conspirators are, visit www.CattleAntitrustSettlement.com/.

Settlement class members who do not exclude themselves are eligible to submit a claim to receive their share of money from the net settlement fund. Claim forms must be submitted electronically or mailed such that they are postmarked by Sept. 15, to receive a payment from the settlement fund. You may access a claim form from the settlement website and submit it online or download and mail it to the address on the claim form. Claim forms are also available by calling 1-844-435-8844 or emailing Info@CattleAntitrustSettlement.com.

Settlement class members who do nothing will be bound by the settlement and will give up any right to sue JBS and the other released defendants in a separate lawsuit related to the legal claims in this lawsuit. Those wanting to keep their rights to separately sue JBS and the other released defendants, must submit a written request to exclude themselves from the settlement postmarked by July 7. Those who do not want to exclude themselves may object to the settlement and/or ask for permission to appear and speak at the fairness hearing but must do so by July 7. Complete information is available at Info@CattleAntitrustSettlement.com.

The court will hold a fairness hearing on Aug. 15 at 10 a.m. at the United States District Court for the District of Minnesota, 300 South Fourth Street, Courtroom 14E, Minneapolis, MN 55415, to decide whether to approve the settlement, grant the requested attorneys’ fees, litigation expenses, and the proposed plan of allocation and distribution. Plaintiffs or their lawyers may appear and speak at the hearing at their own expense, but there is no requirement to do so. Please check www.CattleAntitrustSettlement.com for updates on the date or time of the hearing.

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