By Kiara Doyal, The Seattle Medium
Time is running out for Washington families to file a claim for a $120 or $50 restitution payment because of price-fixing on common food items as the deadline of Wednesday, June 5, 2024, is approaching.
Last week, Washington State Attorney General Bob Ferguson announced that $2.59 million will be distributed to eligible households throughout the state as part of his settlement of two separate antitrust lawsuits against chicken and tuna producers for alleged price-fixing and market manipulation to maximize profit.
The Attorney General’s Office (AGO) asserts that chicken producers drove up the price of chicken beginning back in 2008, causing consumers to overpay by millions of dollars. The lawsuit also claims that the producers engaged in a widespread conspiracy to inflate and manipulate prices, rig contract bids, illegally exchange information, and coordinate industry supply reductions to maximize profits – which violate Washington state antitrust laws.
Washington was the first state to hold chicken production companies accountable for their roles in the alleged price-fixing scheme. As a result of his lawsuit against chicken producers, Ferguson was able to secure a $35.5 million settlement. In addition, Ferguson secured $5.1 million for consumer restitution from a similar lawsuit against major tuna companies. This includes a $4.1 million resolution with StarKist, a $500,000 resolution with Chicken of the Sea, a $100,000 resolution with former Bumble Bee Foods CEO Christopher Lischewski, and $450,000 in sanctions against StarKist’s parent company, Dongwon Industries.
According to the AGO, Lischewski allegedly complained to other tuna executives before they began the price-fixing scheme that canned tuna was “too cheap,” and he wanted the tuna companies to make consumers pay more for tuna. Two of Lischewski’s subordinates testified that he gave “a very clear, direct” order to fix canned tuna prices.
In December, the AGO began mailing restitution checks to Washingtonians from the settlements. According to the AGO, restitution is available to every household whose income is at or below 175% of the federal poverty level. The federal poverty level is dependent on household size, but for a single-person household, the federal poverty level is $15,060, and for a family of four, the federal poverty level is $31,200. Eligible single-person households will receive $50 checks, and multi-person households will receive $120 checks.
“My legal team took on multiple large price-fixing schemes that increased the cost of food for Washingtonians, and we are putting money back in the pockets of those who were most impacted,” says Ferguson. “Washington families were cheated by corporate price-fixing conspiracies they knew nothing about.”
As of Friday, May 24, 273,080 households have cashed the checks originally sent out in December, totaling approximately $26.85 million for Washingtonians. These claim checks are in addition to the original disbursement and claims check recipients did not receive checks in the original disbursement. However, the AGO says that 24,492 additional claims checks have been sent out, and residents throughout the state have until this Wednesday, June 5, 2024, to cash them.
Ferguson has resolved cases against all the tuna companies and 16 of the original 19 chicken companies, while two of the remaining companies have since merged. If the case against the last two companies, Foster Farms and Wayne Sanderson Farms, is resolved at trial, the judge will then direct how those funds are used.
“Time is running out to get your fair share,” says Ferguson. “My legal team and I will continue standing up to corporate greed when it harms Washingtonians.”
To file a claim, visit refundcheck.atg.wa.gov. Eligible single-person households will receive $50 checks, multi-person households will receive $120 checks.