DOJ Sues To Undo $3M Chicken Processing Sale

Law360, New York (May 10, 2011, 6:42 PM EDT) -- The U.S. Department of Justice filed suit Tuesday in Virginia to undo George's Inc.'s $3 million purchase of a Tyson Foods Inc. chicken processing plant, claiming the recently completed deal thwarts competition in the Shenandoah Valley.

The suit seeks to order George's to shed its newly acquired assets under the Clayton Act, arguing the deal eliminated competition to buy so-called broiler chickens between two rival processors in the region.

The filing prompted quick criticism from the companies, which described the transaction as a way to help...
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