Grocery chain sues Clorox for price discrimination

 

October 29, 2014

MADISON The Woodman's grocery store chain is suing Clorox Corp., alleging price discrimination.

In a lawsuit filed in federal court in Madison, Woodman's says Clorox will only make large packs of products available to warehouse clubs, including Costco and Sam's Club.

The Janesville-based Woodman's says that's a violation of federal law which prohibits anti-competitive practices, including price discrimination.

The State Journal (http://bit.ly/1DuSZIn ) reports the lawsuit says Clorox told Woodman's it was changing its marketing strategy and creating the "right assortment" of sizes and brands for different retailers based on their shoppers. Woodman's says that will hurt its ability to compete with the warehouse clubs.

Clorox says the lawsuit is without merit and plans to vigorously defend its practices.

 


Associated Press