ROBINSON-PATMAN SUITS AGAINST 5-HOUR ENERGY MAKER PROVIDE LESSONS FOR OTHER SUPPLIERS* Living Essentials LLC, the maker of 5-hour Energy drinks, has faced two recent suits in California federal courts alleging violations of Robinson-Patman’s prohibitions on price and promotional discrimination. The suits should teach other suppliers, especially those that sell to Costco, that private RP enforcement is alive and well and still requires careful planning of prices and promotions. Two Suits Offer a Glimpse into Complicated Pricing In February 2018, U.S. Wholesale Outlet & Distribution Inc. filed suit in the Central District of California alleging that Living Essentials’ price and promotional allowances to Costco violated Robinson-Patman Sections 2(a) and 2(d) and caused it antitrust
The US District Court for the Central District of California hears private enforcement actions alleging price discrimination by an energy drink manufacturer (Living Essentials)
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