Judge dismisses Easterday’s antitrust suit against Tyson

Published 8:30 am Wednesday, August 30, 2023

A federal judge has dismissed a lawsuit filed by ex-cattleman Cody Easterday that alleged Tyson Fresh Meats committed antitrust violations by abusing its near-dominant position as a cattle buyer in the Northwest.

U.S. District Judge Stanley Bastian in Eastern Washington ruled that Easterday lacked standing to sue to Tyson. The meat-packing company contracted for cattle with Easterday Ranches, not with Easterday personally, according to Bastian’s ruling.

Easterday filed the lawsuit after he was sentenced in October for defrauding Tyson out of $233 million. A second lawsuit alleging that Tyson reneged on an oral contract to share profits from selling “Cody’s Beef” in Japan remains pending in front of Bastian.

Easterday was sentenced by Bastian to 11 years in prison for wire fraud. Easterday contracted to supply cattle for Tyson’s beef plant in Pasco, Wash. Easterday billed Tyson to procure and raise some 265,000 head of cattle that didn’t exist. Easterday still owes Tyson $177.1 million in restitution.

Easterday alleged Tyson violated the Packers and Stockyards Act and Sherman Act by forcing the cattle supplier to bear the risk of falling cattle prices.

Bastian ruled Monday that if any harm was done, it was done to Easterday Ranches, which was co-owned by Cody Easterday and his wife and parents.

Tyson and Easterday Ranches settled claims in bankruptcy proceedings, which Cody Easterday initiated after his fraud was uncovered.

Bastian has yet to rule on Tyson’s motion to dismiss the “Cody’s Beef” lawsuit. As in the antitrust lawsuit, Tyson argues it dealt with Easterday Ranches and not with Cody Easterday personally.

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