Kaufman & Forman, P.C.
Call to arrange a consultation
678-957-7769 | 770-390-9200
Contact Us
practice areas

Breach of contract suit says Trader Joe's is milking suppliers

Up until last year, National Dairy Products LLC and Dairy Smart Inc. had a working relationship with Trader Joe's, a company with which some Georgia consumers may be familiar. The specialty grocer allegedly broke its contracts with the two companies. This was the impetus for the breach of contract lawsuit the two companies commenced against Trader Joe's.

The two companies were contracted to assist Trader Joe's in keeping up the standards for which it has become known. National Dairy Products LLC handled tastings and worked with ice cream makers to give Trader Joe's the frozen treats it provides to its customers. The company also handled invoicing, made sure the orders were accurate and received by Trader Joe's in a timely manner and in the correct quantities.

Dairy Smart Inc. acted as a broker for dairy items -- such as butter, yogurt and the like -- purchased by Trader Joe's for resale to its customers. The lawsuit accuses Traders Joe's of going to its suppliers and telling them that if they wished to continue working with the company, they should stop working with National Dairy and Dairy Smart and work with Trader Joe's directly. The complaint also claims that one supplier was essentially forced to provide Trader Joe's with a significant discount for its products to remain working with the company.

It will be up to the court to determine whether the claims made in the breach of contract complaint are valid, but only after Trader Joe's is given the chance to contest the allegations. Any Georgia company in Trader Joe's position has the right to defend itself against such accusations. Sometimes, the party filing the complaint may have breached the contract first, causing the other party to terminate it.

Source: foodnavigator-usa.com, "Trader Joe's move to cut out the middlemen in dairy supply chain left key vendor & broker "high and dry," says lawsuit", Elaine Watson, July 11, 2014

No Comments

Leave a comment
Comment Information

Contact Kaufman & Forman, P.C. Now

Bold labels are required.

Contact Information

The use of the Internet or this form for communication with the firm or any individual member of the firm does not establish an attorney-client relationship. Confidential or time-sensitive information should not be sent through this form.


Privacy Policy

get Legal Help Now

Kaufman & Forman, P.C.
8215 Roswell Road
Building 800
Atlanta, GA 30350

Toll Free: 800-461-5864
Phone: 678-957-7769
Fax: 770-395-6720
Atlanta Law Office Map

Review Us

Robert Kaufman has been selected as a 2013 Top Rated Lawyer in ‘Commercial Litigation’ as will be published in the May issue of The American Lawyer & Corporate Counsel magazine.Alex Kaufman has been selected as a 2013 Top Rated Lawyer in ‘Commercial Litigation’ as will be published in the December issue of The American Lawyer & Corporate Counsel magazine.

*AV Preeminent and BV Distinguished are certification marks of Reed Elsevier Properties Inc., used in accordance with the Martindale-Hubbell certification procedures, standards and policies. Martindale-Hubbell is the facilitator of a peer review rating process. Ratings reflect the confidential opinions of members of the bar and the judiciary. Martindale-Hubbell ratings fall into two categories: legal ability and general ethical standards.