JBS agrees to $83.5 million settlement in class action case
R-CALF, National Farmers Union, along with four cattle producers, are currently in the process of seeking preliminary approval for an $83.5 million class action settlement with JBS. This legal action stems from an antitrust suit filed by these groups in April 2019 against JBS, Tyson, Cargill, and National Beef in the Federal District Court for the District of Minnesota. The recent settlement, announced on Jan. 31, marks the first resolution reached in this ongoing case.
Bill Bullard, the CEO of R-CALF, expressed satisfaction with the agreement with JBS and indicated that they are committed to moving forward with pursuing their claims against the three remaining defendants, Tyson, Cargill, and National Beef. As part of the proposed settlement, JBS will make an $83.5 million cash payment and provide specific documents and support to aid in the prosecution of the other defendants. It is important to note that the settlement does not serve as an acknowledgment of liability on the part of JBS, as the company maintains its denial of any wrongdoing.
A spokesperson from JBS clarified the nature of the settlement by stating that the company has agreed to resolve the class encompassing US producers who sold fed cattle for slaughter to JBS, Tyson, Cargill, and National Beef between June 1, 2015, and Feb. 29, 2020. Additionally, individuals who held positions in live cattle futures on the CME before June 1, 2015, and subsequently offset these positions through market transactions before Nov. 1, 2016, are also included in the class covered by the settlement.
The settlement with JBS is just one piece of the larger legal actions being pursued by various groups within the cattle industry. This case is part of the broader In re Cattle and Beef antitrust litigation, and JBS’s decision to settle with this particular class does not imply any fault on their part but rather is deemed to be in the best interest of the company. JBS remains resolute in its stance to vigorously defend its interests against the remaining plaintiffs.
In conclusion, the settlement between R-CALF, National Farmers Union, the four cattle producers, and JBS represents a significant development in the ongoing legal saga surrounding antitrust issues within the cattle industry. While this resolution marks progress in the case, it is just one step in a larger legal battle involving multiple parties and complex legal issues. The commitment of the involved parties to seek justice and accountability within the industry is evident in the pursuit of these legal actions.