Southern Glazer's Settles FTC Case Over Discriminatory Pricing
Southern Glazer's agreed to a settlement with the Federal Trade Commission to stop charging small retailers more than large chain stores across 26 states.
The Federal Trade Commission has reached a settlement with Southern Glazer's Wine and Spirits, the largest liquor distributor in the United States, to resolve allegations that the company violated the Robinson-Patman Act. Under the terms of the agreement, the company is prohibited for six years from charging small, independent retailers significantly more than nearby large chain stores, including Costco, Walmart, and Kroger, across 26 states.
A court-appointed monitor will oversee the settlement to ensure compliance and prevent discriminatory pricing. The FTC originally filed the lawsuit in 2024, representing the first enforcement of the 1936 Robinson-Patman Act in several decades. The action was part of a broader agency effort to prioritize affordability and the protection of small businesses.
Internal disagreement existed within the agency regarding the litigation. Current FTC Chairman Andrew Ferguson previously opposed the lawsuit, characterizing the case as weak. The enforcement priority was established under the leadership of former FTC Chair Lina Khan.
