Perrigo Baby Formula Settlement (Claims Not Open)

If you've purchased baby formula sold under a retailer's own label rather than a major brand name, this case could involve you. Perrigo is identified as the leading manufacturer of store-brand infant formula, supplying retailers like Walmart, Kroger, CVS, Target, Meijer, Rite Aid, Costco and Walgreens.

According to the lawsuit, Perrigo and Gerber conspired to block a new rival from entering the store-brand formula business. The complaint alleges that P&L Development struck a binding deal with Gerber in February 2021, under which Gerber would manufacture formula for P&L to sell to retailers as store brand. Plaintiffs say Perrigo already held a secret agreement giving it "first right" to any spare Gerber production capacity, and that once Perrigo learned of the P&L arrangement, it exercised that right. Gerber then reportedly suspended the P&L partnership on May 12, 2021, just a day before P&L was set to meet with Walmart. The suit also claims Perrigo's acquisition of Gerber's Gateway infant formula facility was itself anticompetitive.

Plaintiffs argue that sidelining this competitor allowed prices for store-brand formula to stay higher than they should have been. Filed on April 22, 2024 and since transferred to federal court in Brooklyn, the case raises claims under federal antitrust law, state antitrust and unfair competition statutes, and unjust enrichment, seeking damages on behalf of buyers. Perrigo and Gerber deny any wrongdoing, and no court has ruled against either company.

On October 13, 2026, Perrigo asked the court to sign off on a $10 million settlement. As part of the deal, Perrigo would agree not to enter competition-limiting arrangements with other infant formula makers for three years, unless backed by a legitimate business reason. Perrigo would also assist plaintiffs in their continuing case against Gerber, including making employees available to testify and turning over transaction records.

Nothing is final yet. The court must first decide on preliminary approval. If granted, a settlement administrator will be appointed and a notification plan approved for affected buyers. A settlement website featuring a claim form, deadlines, payment information, and a list of eligible store-brand formulas would then be launched. The group of people covered by the settlement won't be finalized until the court signs off.