Call for more to join Fonterra class action

by | Feb 17, 2021 | Australia, News

The class action lawsuit, alleging Fonterra breached contractual obligations when it implemented its step-down in milk prices in 2016 is still seeking more farmers impacted by the step-down to join. David Burstyner of Adley Burstyner says around 350 farmers had registered so far, but about 600 registrations are needed to proceed with the case, which was lodged in the Supreme Court of Victoria in June 2020. In addition to the alleged contract breaches, the class action claims Fonterra engaged in “misleading conduct about the likelihood of a step-down” and acted “unconscionably” toward suppliers.

Fonterra has denied the allegations, noting the Australian Competition and Consumer Commission had investigated the milk price reduction and decided not to take any action.