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Kraft v. United Egg: An Exploration of the "Hub and Spokes Conspiracy" Theory

Kraft v. United Egg: An Exploration of the "Hub and Spokes Conspiracy" Theory

Case Study

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econworks
Mar 10, 2025
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Kraft v. United Egg: An Exploration of the "Hub and Spokes Conspiracy" Theory
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seven brown eggs on tray

Egg prices in the United States have recently increased, and there may be valid economic explanations for these price changes. Our focus in this case study is the theory of harm. In a lawsuit initiated in 2011, a collective of food manufacturers brought legal action against a group of egg producers and egg cooperatives for intentionally reducing supply beginning in 1999, which led to increased egg prices. The trial concluded in September 2024, resulting in a verdict in favor of the plaintiffs, with an award exceeding $53 million, including triple damages.

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