Funeral Consumers Alliance, Inc, and Consumers v Service Corp. Int'l, Alderwoods Group, Inc., Stewart Enterprises, Inc., and Batesville Casket Co.

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Three largest Funeral Home Chains and Nation's Largest Casketmaker Charged with Price Fixing

Case ID: 4323
Category: Consumer Products
 
Last Update: 06/29/2005
Country:
 

The suit has been filed against funeral conglomerates Service Corporation International, Alderwoods Group, Inc., Stewart Enterprises, Inc., and casket giant Batesville Casket Company. The suit seeks to prevent the defendants from boycotting independent casket discounters (ICDs), and from raising casket prices through price-fixing agreements.

Joining FCA in the suit are several individual consumer plaintiffs, who seek damages on behalf of all consumers who purchased Batesville caskets from the funeral home defendants.

"For years, funeral homes have conspired to artificially inflate casket prices," said Joshua Slocum, executive director of FCA. "We expect this lawsuit will put an end to these conspiracies, that it will bring free and fair competition to the casket market, and that consumers will be compensated for the damage this behavior has wrought."

Plaintiffs allege the following:

1. The defendants and their co-conspirators have engaged in a group boycott to prevent ICDs from selling Batesville caskets and certain other brands. As part of the boycott, the defendants have mounted a campaign of disparagement against ICDs and the caskets they sell. FCA believes this campaign has helped steer customers away from purchasing caskets from ICDs, and toward the artificially expensive Batesville brand of caskets the defendants sell.

2. Plaintiffs further allege that the defendant funeral homes engaged in various forms of price coordination in further violation of state and federal competition laws. FCA alleges the defendants' conduct has suppressed competition in casket sales, which has cost families billions of dollars in overcharges.

If successful, the lawsuit will bring an end to these anti-competitive and anti-consumer practices so grieving families can enjoy substantially lower prices and greater choices for caskets. The lawsuit will also allow the consumer plaintiffs to recover the overcharges that consumers of Batesville caskets have been made to pay.

FCA is the nation's oldest and largest funeral consumer education and advocacy organization. FCA comprises more than 100 affiliated consumer groups (often known as memorial societies) that provide families with information on funeral services and products. FCA groups have approximately 400,000 individual consumer members.

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