Mary Kaiser spoke to CSP Daily News about the Federal
Trade Commission (FTC) investigating Coca-Cola and PepsiCo for
possible violations of a law prohibiting suppliers from favoritism
among customers in the soft drink industry.
According to Mary, if the FTC determines there is sufficient
evidence of a Robinson-Patman Act violation, it can serve an
administrative complaint to Coca-Cola, PepsiCo, or both, stating
its charges and setting a hearing before an administrative law
judge. After a hearing, if the judge thinks there is a violation of
the Robinson-Patman Act, it can issue a cease-and-desist order,
which can be appealed.
"In reality, these cases very rarely proceed to an
administrative hearing, much less to federal court
litigation," Mary said. "Respondents typically seek to
settle with the agency and enter into a consent order, under which
they would agree to stop the pricing practices at issue."
