FTC Targets Price-Discrimination with New Robinson-Patman Act Lawsuit
The FTC sued Southern Glazer’s, a large wine and spirits distributor, alleging that the company charged higher prices to smaller retailer customers than it did to large chains, violating the RPA. The FTC filed a lawsuit against Southern Glazer’s a large wine distributor alleging that the company charged smaller retailers higher prices than it did large chains. This was a violation of the RPA. The controversy surrounding the complaint, and how it was filed, can provide valuable insights for companies that manage modern pricing systems. The complaint shows how the current FTC leadership intends to operationalize their new focus on price-discrimination. It also provides a roadmap of how state regulators and plaintiffs can litigate this issue regardless of the way the FTC proceeds in the new administration. The dissents of FTC Commissioners Melissa Holyoak, Andrew Ferguson, and others provide a blueprint to respond to future actions. This may resonate with other regulators, and most importantly, federal and state judges.
