DOJ, states could secure 53 million eggs in price manipulation settlement

Minnesota Attorney General Keith Ellison announced a multi-state settlement that could deliver more than 50 million eggs and $3.3 million. This comes after a joint investigation by the U.S. Department of Justice and the states alleged three of the nation's largest egg producers illegally coordinated to inflate egg prices nationwide. "No product more quintessentially represents affordability than the price Americans pay for eggs," said DOJ Associate Attorney General Stanley Woodward. "These actions prove this department's continued commitment to protecting competition and providing real relief for everyday Americans' pocketbooks." If approved by the court, the 53 million eggs would be distributed to food banks and nonprofit organizations across the 17 bipartisan states that signed on to the lawsuit. Of those, 2 million eggs would be distributed to organizations serving Minnesotans. The agreement will resolve a civil lawsuit filed by the DOJ and attorneys general against Cal-Maine Foods, Hickman's Egg Ranch and Versova. Those companies provide eggs to grocery stores, restaurants, and other businesses nationally – meaning increased prices are then passed on to consumers. The complaint alleges the companies secretly coordinated from June 2022 through March 2025 to manipulate daily egg price quotations published by Urner Barry Publications, a benchmark widely used in egg supply contracts, resulting in higher prices for retailers and consumers. "Corporations should be competing against one another for your business, not colluding with one another to keep prices high," Ellison said. "As I travel Minnesota, I hear all the time from folks who are struggling to afford rising food prices. Unlawful and unethical behavior like this is a big part of the reason for that." According to the DOJ, the companies communicated behind the scenes about how and when to submit bids that would influence the benchmark price. In one example, the CEO of Hickman's emailed executives at Versova and Cal-Maine in December 2022 urging them to submit "strong bids, early and often" to push prices higher. The companies then allegedly submitted dozens of higher-priced bids, leading Urner Barry to increase its daily price quotations. The DOJ's antitrust division helped investigate the case. "Food affordability is a top priority of the Antitrust Division," said former Acting Assistant Attorney General Omeed A. Assefi. "These settlements resolve years of conduct that dragged on Americans' finances and their everyday lives." Billions of eggs are sold each year using prices tied to the Urner Barry benchmark. According to the DOJ complaint, those benchmark prices dropped significantly in 2025 after the companies learned they were under federal investigation. Federal officials are applauding the settlement. "We are proud that these settlements will keep egg prices competitive and keep money in the hands of consumers across the country," said Deputy Assistant Attorney General Nicole Sarrine of the Justice Department's Antitrust Division. Under the proposed settlement, the companies must: • Stop communicating with competitors about bidding strategies, pricing and other information intended to influence benchmark publications • Establish antitrust compliance programs • Appoint compliance officers • Cooperate with ongoing oversight by the participating states and the Justice Department In addition to providing the eggs at their own expense, the companies would also pay a combined $3.3 million to the states participating in the lawsuit. Ellison said this was another step to ending "unlawful" pricing schemes in America's food industries. "I will continue doing everything in my power to fight back against price manipulation and keep costs fair for Minnesotans," he said. The attorneys general of Arizona, California, Colorado, Connecticut, Florida, Hawaii, Iowa, Maryland, Minnesota, New York, North Carolina, Ohio, Pennsylvania, Texas, Utah, Vermont, and Wisconsin joined with the DOJ in filing the lawsuit. The proposed settlement must be approved by the U.S. District Court for the Northern District of Iowa before moving forward.