FTC Dismisses Antitrust Suit Against PepsiCo Over Discount Practices With Walmart

The Federal Trade Commission (FTC) has decided to dismiss an antitrust suit against PepsiCo, which was filed in the final days of the Biden administration. This suit was based on claims that PepsiCo had violated the Robinson-Patman Act by offering Walmart more favorable discounts compared to other customers. The FTC’s vote was unanimous, with Commissioner Andrew Ferguson explaining that, although the Commission acknowledges the validity of the Robinson-Patman Act, it must concentrate on cases with higher chances of success due to limited resources. Interestingly, the commissioners expressed their support for FTC Chair Lina Khan’s efforts to revitalize the enforcement of this Depression-era law, which is intended to regulate volume discounts among large purchasers. More details can be found in the full article.