Case Details

Year Initiated/Committed

2003

Year Resolved

2008

Settlement Amount

n/a

Court

U.S. District Court for the Eastern District of Kentucky

Docket Number

6:03-206-KSF

Lead State

KY

Participating States

KY

Defendant(s)

Dairy Farmers of America, Inc.

Case Description

DOJ and Kentucky alleged that the acquisition by Dairy Farmers of American (DFA) of Southern Belle Dairy would substantially lessen competition for the sale of milk sold to schools in one hundred school districts in eastern Kentucky and Tennessee. The District Court granted summary judgment to DFA and Southern Belle. The government appealed, and the Court of Appeals reversed the grant of summary judgment as to DFA and remanded the case for trial. The Court of Appeals affirmed the dismissal of Southern Belle, leaving DFA as the only defendant. The parties then reached a settlement requiring DFA to divest its interest in Southern Belle and use its best efforts to require its partner, the Allen Family Limited Partnership (“AFLP”), to also divest its interest in Southern Belle. to Prairie Farms Dairy, Inc.