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FTC Settles with Southern Glazer's over Claim It Discriminated Against Smaller Alcohol Sellers

The deal sets six years of oversight and penalties if Southern Glazer’s gives big customers better prices than nearby independent stores, the FTC said.

  • On Friday, the Federal Trade Commission settled a case with Southern Glazer's, the nation's largest liquor distributor, over allegations of discriminatory pricing favoring large retailers.
  • The case invoked the 1936 Robinson-Patman Act, which prohibits sellers from offering different prices for the same goods to different buyers, aiming to level the playing field between independent shops and major chains like Walmart, Costco, and Kroger.
  • An independent monitor will oversee the settlement for six years across 26 states, ensuring Southern Glazer's does not provide preferential pricing to large customers; the company, which generated $26 billion in 2023, must provide detailed records twice annually.
  • Current FTC Chairman Andrew Ferguson said Friday he initially opposed the lawsuit, believing cost differences were justified, though he stated the settlement represents the "best outcome for all parties."
  • Southern Glazer's chief legal and compliance officer Alan Greenspan noted the company "did not violate" the Robinson-Patman Act, resolving the case without admitting wrongdoing while continuing to distribute one out of every three bottles of spirits in the U.S.
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Ottumwa CourierOttumwa Courier
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FTC settles with Southern Glazer's over claim it discriminated against smaller alcohol sellers

The Federal Trade Commission has settled with Southern Glazer’s Wine and Spirits over claims of discrimination against small businesses. The FTC sued the distributor in December 2024, alleging it favored larger stores like Walmart and Kroger with discounts not offered…

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WTVB broke the news on Friday, October 2, 2026.
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