Canada Bread says Maple Leaf used it as ‘shield’ in bread price-fixing case – Business News

Photo: The Canadian Press

A Maple Leaf Foods logo is shown in a handout. Canada Bread accuses Maple Leaf Foods of using it as a “shield” to avoid liability in the alleged bread price-fixing scheme that is the subject of two class-action lawsuits and an ongoing Competition Bureau investigation. THE CANADIAN PRESS/HO

Canada Bread accuses Maple Leaf Foods of using it as a “shield” to avoid liability in the alleged bread price-fixing scheme, which is the subject of two class-action lawsuits and an ongoing investigation by the Competition Bureau.

In documents filed by Canada Bread in an Ontario court as part of one of the class action lawsuits, the company alleges that Maple Leaf broke the law and breached its management agreements.

Maple Leaf was the largest shareholder in Canada Bread until Grupo Bimbo bought the company in 2014.

Canada Bread is the only company to be fined by the Competition Bureau in connection with the alleged scheme, with a $50 million fine set to be imposed in 2023.

The company alleges that Maple Leaf is liable for any damages it has suffered or will suffer as a result of the Competition Bureau’s investigation and lawsuits.

Maple Leaf did not immediately respond to a request for comment.

This report by The Canadian Press was first published Sept. 12, 2024.