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FTC Drops Biden-Era Price Discrimination Suit Against PepsiCo

The Republican-controlled commission dismisses the Robinson-Patman Act case, citing partisan motivations, while congressional scrutiny of PepsiCo's pricing practices continues.

Overview

  • The Federal Trade Commission, now led by Republicans, voted 3-0 to dismiss a lawsuit accusing PepsiCo of price favoritism toward large retailers like Walmart.
  • FTC Chair Andrew Ferguson criticized the case as a politically driven effort rushed through in the final days of the Biden administration.
  • The lawsuit was filed under the rarely used Robinson-Patman Act, marking the first such enforcement attempt by the FTC since 2000.
  • Democratic lawmakers are still investigating PepsiCo's pricing strategies, seeking further information about potential price-gouging practices.
  • The FTC’s current composition, with three Republican commissioners following the removal of two Democrats by President Trump, faces ongoing legal challenges over its legitimacy.