Southern Glazer’s Wine & Spirits and The Federal Trade Commission have moved closer to settling the US regulator’s lawsuit that accused the distributor of price discrimination.
In December 2024, the FTC filed a lawsuit accusing Southern Glazer’s of “depriving” small and independent retailers of discounts and rebates,.
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According to a report from Bloomberg, they have reached a “tentative settlement” over the legal action.
Both parties are said to have asked the court to pause the lawsuit for 45 days while they work to settle the FTC’s claims.
Filings logged on the PacerMonitor website indicate a joint stipulation to stay the case was filed last Thursday (18 June).
They also show an order from judge Fred W. Slaughter was subsequently filed on Monday (22 June) to approve the stipulation, which has stayed the case until 6 August.
The FTC declined to comment directly the matter when approached by Just Drinks.
Southern Glazer’s had not responded to the publication’s request for comment at the time of writing.
In its lawsuit, the FTC claimed Southern Glazer’s had violated the Robinson-Patman Act under which it is “generally illegal” for sellers to charge “higher prices to disfavoured retailers that purchase similar products”.
“Southern engaged in anti-competitive and unlawful price discrimination,” the group said in a statement at the time.
Responding to the move, Southern Glazer’s then said it “strongly disputes the FTC’s allegations and will defend itself vigorously in this litigation”.
The wine and spirits distributor also then described the Robinson-Patman Act as “a Depression-era federal antitrust law that has not been enforced in decades because of bipartisan concern that enforcement leads to higher prices for consumers”.
