March 6 (Reuters) - California, Oregon, Illinois and
five other U.S. states have asked a U.S. judge to award them
legal fees for winning an order in federal court blocking
Kroger's ( KR ) now-abandoned $25 billion deal for grocery rival
Albertsons ( ACI ).
The states and the District of Columbia said in a court
filing in Oregon on Wednesday that they are entitled to fees for
their legal work under federal antitrust law. A judge in
December blocked the deal, and Kroger ( KR ) then dropped the merger.
U.S. District Judge Adrienne Nelson will weigh the fee
request. The states did not ask for a specific amount, but the
total could reach millions of dollars.
The dispute could test the scope of a new U.S. Supreme Court
ruling that addresses the payment of fees in some cases to the
prevailing party. The justices' ruling set a higher bar in some
instances for plaintiffs to recover fees.
Kroger ( KR ), Albertsons ( ACI ) and representatives for California,
Oregon and Illinois did not immediately respond to requests for
comment on Thursday.
The states joined the Federal Trade Commission in a lawsuit
filed in federal court in Oregon in February 2024.
The Kroger-Albertsons deal would have marked the largest
supermarket merger in U.S. history.
The companies had defended the deal as beneficial to
consumers and workers. Albertsons ( ACI ) has since sued Kroger ( KR ),
alleging its termination of the deal was a breach of contract.
Kroger ( KR ) has denied the claims by Albertsons ( ACI ).
In their fee bid, the states said they "substantially"
prevailed after winning an order against the merger that
scuttled the deal.
The states urged Nelson not to apply the recent U.S. Supreme
Court ruling to their fee request, saying the justices' decision
applied to civil rights litigation and not antitrust matters.
The case is Federal Trade Commission et al v. The Kroger Co ( KR )
and Albertsons Companies ( ACI ), U.S. District Court for the District
of Oregon, No. 3:24-cv-00347-AN.
Read more:
Albertsons ( ACI ) demands billions from rival Kroger ( KR ) after
terminating merger bid
Kroger's ( KR ) $25-billion deal for grocery rival Albertsons ( ACI )
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Washington state paying law firm Munger to fight
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Kroger-Albertsons merger fight features antitrust law
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