Admitting no wrongdoing, Dairy Farmers of America (DFA) agreed to pay $50 million to Northeast dairy farmers in effort to settle antitrust allegations in a 2009 class-action lawsuit, reported The Wall Street Journal.
The suit pitted dairy farmers of the Northeast against Dean Foods, DFA, and DFA’s Dairy Marketing Services branch. In 2011, Dean Foods settled for $30 million.
According to a DFA fact sheet, 1,552 DFA members reside in the Northeast, producing 2.9 billion pounds of milk annually. DFA has three Northeastern plants, in Mechanicsburg, Middlebury Center, and Reading, Penn.
The suit was brought forth while DFA was in the midst of a case in Southeastern states, which was settled in 2013. That 2007 case awarded $140 million to plaintiffs, split by DFA, DFA’s Mid-Am Capital LLC, and former DFA subsidiary National Dairy Holdings LP. Dean Foods was also involved in that case, paying $140 million to 6,000 southeastern dairy farmers.