Following the June 25th announcement of the “Fair and Competitive Livestock and Poultry Markets Rule”, the National Chicken Council and the Meat Institute issued strong objections to what is regarded as a heavy-handed solution to a nonexistent problem.
The interim president of the National Chicken Council, Gary Kushner, himself a veteran member of the bar stated, “Eight different Federal Circuit Courts of Appeal have addressed the key issues under pending the proposed Rule, entitled “The need to establish injury to competition to demonstrate a violation.” The statement continued, “Rather than accept the Courts’ decisions Secretary Vilsack and this Administration are trying to circumvent Congress, has misused the lawmaking process to achieve what they have not won in court and what Congress has never authorized.”
The NCC correctly maintains that the proposed rule will lead to frivolous lawsuits and expensive litigation. This consequence is apparently encouraged by Assistant Attorney General Jonathan Kanter who has openly expressed a hope that plaintiffs will file a Packers’ and Stockyards Act claim against broiler integrators.
The NCC characterized the Rule as “ill-advised” and would have unintended consequences including increased costs for consumers.