🤝 FTC Prepares Antitrust Lawsuit

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FTC Prepares Antitrust Lawsuit Against Southern Glazer’s Wine and Spirits

The Federal Trade Commission (FTC) is preparing to file an antitrust lawsuit against Southern Glazer’s Wine and Spirits, the largest U.S. alcohol distributor, sources told CNBC. Expected within weeks, the suit will likely accuse the company of providing "secret kickbacks" to large retail customers and violating the Robinson-Patman Act, a 1936 antitrust law that prohibits price discrimination that harms competition. This development follows a report by Politico and underscores the FTC's ongoing efforts to enforce antitrust regulations aggressively.

Southern Glazer’s, a Florida-based company distributing alcohol for over 7,000 brands across 44 states, reported $26 billion in revenue in 2023. The Robinson-Patman Act, under which the FTC might file the suit, has not been used in such a case since 2000. The Act forbids offering better prices to one buyer over another for the same commodity if it affects competition. The FTC’s case could be complex due to the varied state-specific regulations governing alcohol distribution and the inherent difficulty in proving competitive harm under the Act. This lawsuit, if filed, would add to the FTC’s recent wave of antitrust actions targeting major corporations under the Biden administration.

Big Mac Attack: McDonald's Loses EU Trademark Battle to Supermac's

In a landmark decision, the EU General Court ruled that McDonald’s has lost its Big Mac trademark in the 27-nation bloc, siding with Irish fast-food chain Supermac’s. The court found that McDonald’s failed to prove genuine use of the Big Mac name over a five-year period for chicken sandwiches, poultry products, or restaurant services, clearing the path for Supermac’s expansion across the EU.

The ruling is not just about burger names but also about market competition. Supermac’s argued that McDonald’s was using trademark bullying to stifle competition, a claim bolstered by this victory. This decision allows Supermac’s to advance its EU expansion plans, which were previously hindered by McDonald’s objections. Despite the setback, McDonald’s stated that the ruling does not affect its right to use the Big Mac trademark and expressed confidence in the continued popularity of its iconic burger in Europe.

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