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ISRAEL: Coca-Cola Israel charged with abuse

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Coca-Cola Israel could be hit by a class action. A petition for approval of a ILS260m (US$58.5m) class action against the Central Bottling Company (Coca-Cola Israel) was filed yesterday (11 October) at the Beersheva District Court. Around 300 individuals and soft drinks companies from across Israel's soft drink vending machine industry have filed the petition.

The petition accuses Coca-Cola Israel of abusing its monopoly status in the soft drinks market by charging high prices while granting preferential treatment to its vending machine subsidiary, Mashkar.

Coca-Cola Israel is subsequently accused of selling carbonated soft drinks to Mashkar at lower prices, thereby preventing competition with Mashkar and using Mashkar to take over the vending machine market.

The petition was submitted under anti-trust law, which bans discriminatory pricing for a monopoly's products.

No statement of defence has been issued yet.


Sectors: Soft drinks

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