Provi has reached an agreement in principle to settle its antitrust lawsuit against Southern Glazer’s Wine & Spirits, the largest alcohol distributor in the U.S.
The lawsuit, originally filed in March 2022, accused Southern Glazer’s and Republic National Distributing Company (RNDC) of illegally stifling competition in the alcohol industry. Southern Glazer’s is the largest alcohol distributor in the U.S. Provi is a Chicago-based B2B marketplace for alcohol sales. Its online marketplace connects buyers with sellers in the wholesale alcohol market.
Provi lawsuit against Southern Glazer’s and RNDC
In its complaint, filed in the U.S. District Court for the Northern District of Illinois Eastern Division, Provi alleged that Southern Glazer’s and RNDC conspired to boycott its platform in order to steer business to their own proprietary ordering systems.
According to the filing, Southern Glazer had processed more than 120,000 orders through Provi between 2016 and 2021 before abruptly terminating the relationship. Provi contended this action was part of a coordinated effort with RNDC to exclude third-party platforms and maintain dominance over digital ordering in the industry.
After a federal judge denied motions to dismiss the case in May 2024, the suit proceeded into the discovery phase. Now, both parties have agreed to pause proceedings as they work toward a final settlement.
“The parties have reached an agreement in principle to resolve the litigation,” said a spokesperson for Southern Glazer’s. “As a result, the parties have agreed to stay the litigation while they focus on reaching a final resolution.”
No terms of the proposed settlement have been disclosed.
Importantly, no settlement has yet been reached with RNDC, which remains a defendant in the case. That litigation is continuing separately.
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