A Los Angeles law firm has filed a class-action lawsuit on behalf of consumers alleging that various dairy companies and trade groups slaughtered more than 500,000 cows to help inflate the price of milk.
The suit filed by Hagens Berman alleges that the National Milk Producers Federation, Dairy Farmers of America, Land O’Lakes, Inc. and Agri-Mark, Inc. combined to form Cooperatives Working Together (CWT) in order to fix the price of milk in the United States.
CWT is a massive trade group representing dairy producers throughout the country who produce nearly 70 percent of the milk consumed in the United States.
The lawsuit, filed in the United States District Court for the Northern District of California, alleges that between 2003 and 2010, more than 500,000 cows were slaughtered under CWT’s dairy herd retirement program in a concerted effort to reduce the supply of milk and inflate its price nationally.
According to the complaint, the increased price allowed CWT members to earn more than $9 billion in additional revenue. The case was initially researched and developed by Compassion Over Killing, a national animal protection organization.
Shameful killing
“We believe this case serves two important causes,” said Steve Berman, managing partner of Hagens Berman. “A resolution to this case will protect consumers from artificially-inflated milk prices and also will prevent the unnecessary and shameful killing of tens of thousands of cows each year.”
“The dairy industry has consistently shown its lack of regard for animal welfare and the environment,” said Compassion Over Killing general counsel Cheryl Leahy. “Now it’s milking its own consumers by unlawfully jacking up prices. The dairy industry must be held accountable for these illegal profits.”
The complaint further alleges that the program, which paid smaller farm owners to kill their entire dairy cow herds, unfairly increased the profits of agribusiness giants.
Effects last years
Dairy herd retirement ended in the summer of 2010, but CWT’s tactics may affect the price of milk for years, according to the lawsuit. The end of the program came shortly after Land O’Lakes agreed to pay $25 million to settle a class-action lawsuit filed against the United Egg Producers and its members.
That case alleged that egg producers were encouraged to reduce their flock size as part of a program disguised as an animal welfare initiative.
Compassion Over Killing (COK) is a nonprofit animal protection organization based in Los Angeles and Washington, D.C. Since 1995, COK has worked to end the abuse of animals in agriculture through undercover investigations, public outreach, litigation, and other advocacy programs. COK is on the web at COK.net.
Erica Roe (Wed, 28 Sep 2011 21:45:15 +0000): All this wastefulness when so many are in need UGH, I recently heard about how the corn farmers opperate and are paid to let so much corn just die and now this. Rawr!
Jacqueline Folwell (Wed, 28 Sep 2011 23:04:27 +0000): Price fixing is what it should be called. That is a criminal offense. Score Almighty dollar $9 Billion Cows 0 consumer Broke. While they are at it investigate Bread companies too. Meat, produce and canned goods too. We have been Had.
Lily Santiago (Thu, 29 Sep 2011 02:42:15 +0000): SICK!
Phyllis Swan (Thu, 29 Sep 2011 02:43:18 +0000): OUR FOOD CHAIN IS OFF THE CHAIN...
Stephen Royster (Thu, 29 Sep 2011 02:49:15 +0000): Smh
Frank Cole (Thu, 29 Sep 2011 11:40:52 +0000): Bovine genocide to increase profits. What will the greedy bastards think of next?
Char Berry (Thu, 29 Sep 2011 20:24:18 +0000): Oh PETA.... PETA? What say now, PETA? They probably are okay with this. Keeps us from comsuming dairy foods. The takeover by big government is almost upon us. Time to get out the plow and seeds. Maybe buy a goat or cow. Hey, buy that "k I l l e r" raw milk from our Amish friends. The bigwigs need to stay out of the Amish way of life, too.
Bob Wilson (Mon, 03 Oct 2011 00:10:47 +0000): The world diamond monoply restricts the supply of diamonds to keep the price up. There are actually good natural sources of diamonds here in the US. Whoops! Did I let out a secret?
John Owen (Tue, 04 Oct 2011 15:37:14 +0000): These things *do* happen. I can testify from my time as a financial analyst at PGE (the former ENRON subsidiary) that the California electricity crisis back in 2000 to 2001 that ejected Gray Davis and lead Schwarzenneger to the governorship was nearly an entirely manufactured affair. The PGE trading floor which controls the transmission corridor containing path 15 and path 22 (the two major transmission corridors that connect the federal Bonneville Power Administration to the California markets -- California is a net electricity importer and in a good hydro year up to %40 of California's electricity demand is met by Bonneville) essentially created the crisis in order to play the Wall Street derivatives market with loaded dice. Cost California something like $9 billion and ENRON made off like bandits - gave them enough cash to stave off the bankruptcy that by all rights ought to have happened far earlier.
Edwin Walker (Mon, 03 Oct 2011 01:07:21 +0000): es, we should have a law. Don't kill cows if you are losing money on them. Let the government pay monthly support for them. DUH!