Farmers, Dairy Co-Op Reach $40M Deal To End Milk Price Suit

Law360 (August 13, 2018, 8:12 PM EDT) -- A California federal court was asked Monday to approve a $40 million settlement to resolve putative claims for tens of thousands of dairy farms alleging that cooperative DairyAmerica Inc. and affiliate California Dairies conspired to boost profits by lowballing milk prices paid to farmers.

The agreement will wrap nearly a decade of hard-fought litigation that started in 2009 when several dairy farmers sued, saying DairyAmerica misreported dairy product prices to the the U.S. Department of Agriculture's National Agricultural Statistics Service to lower the government-set amount its members would have to pay farmers for nonfat dry milk under provisions set under what’s...

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