FTC Revives Robinson‑Patman Enforcement, Settles With Southern Glazer’s
The FTC has returned to the Robinson‑Patman Act, settling a price‑discrimination case against Southern Glazer’s and concluding a probe into Gildan, signaling a broader crackdown on commodity sellers.
In a move that underscores a renewed focus on price‑discrimination enforcement, the Federal Trade Commission announced it had reached a settlement with Southern Glazer’s, a major liquor distributor alleged to have imposed discriminatory pricing on competing resellers. The settlement follows the agency’s decision to close a parallel investigation into Gildan Holdings, citing insufficient evidence of wrongdoing. By invoking the Robinson‑Patman Act—a statute originally aimed at preventing sellers of identical goods from charging different prices to different buyers—the FTC demonstrates a willingness to apply older competition provisions to contemporary distribution practices. The outcome is significant for firms representing vendors and resellers in the consumer‑goods and wholesale sectors, as it illustrates the FTC’s readiness to scrutinize pricing arrangements even when the goods are sold to a broad, non‑discriminatory customer base. Clients should review their pricing contracts for any clauses that could inadvertently trigger price‑discrimination claims and monitor forthcoming FTC guidance that may clarify the agency’s enforcement priorities.