This lawsuit arises from an unlawful conspiracy to fix, raise, or maintain the prices for fragrances and fragrance ingredients by Defendants Symrise AG, International Flavors & Fragrances Inc., Givaudan SA, Firmenich International SA, and certain entities owned or controlled by them, as described below (collectively, “Defendants”) in violation of Sections 1 and 3 of the Sherman Act (15 U.S.C. §§ 1, 3).
As alleged in the complaint, Defendants are the four largest producers in the global flavors and fragrances market, together comprising 64% of the market. Since at least January 1, 2018, Defendants have imposed price increases that are not adequately explained by competitive factors.
On March 7, 2023, the European Commission (“EC”) announced that it had carried out dawn raids at several suppliers and an industry association in the fragrances and fragrance ingredient industry in coordination with the Swiss Competition Commission (“COMCO”), the U.S. Department of Justice Antitrust Division (“DOJ”), and the U.K. Competition and Markets Authority (“CMA”). Although the EC’s announcement did not name the companies that were under investigation, that same day, the CMA announced that it “has reason to suspect anti- competitive behaviour has taken place involving suppliers of fragrances and fragrance ingredients for use in the manufacture of consumer products such as household and personal care products,” and named Firmenich International SA, Givaudan SA, International Flavors & Fragrances Inc, and Symrise AG as the subjects of the investigation.
The next day, COMCO revealed that the dawn raids were based on “indications that several undertakings active in the production of fragrances have violated cartel law.” COMCO also identified the same Defendants as the subject of the investigation and disclosed that “[t]here are suspicions that these undertakings have coordinated their pricing policy, prohibited their competitors from supplying certain customers and limited the production of certain fragrances.
The case is brought on behalf of “All persons and entities in the United States and its territories who purchased fragrances or fragrance ingredients directly from any of the Defendants or their subsidiaries or affiliates during the period from January 1, 2018 until the effects of the conspiracy ceased.”
To learn more about this action, you are encouraged to contact Joshua Grabar at [email protected] or call 267-507-6085.
