The claims process has officially started for Canadians to get their share in the $500-million class action lawsuit against Loblaw Companies Limited, alleging industry-wide price-fixing of bread.
All shoppers who have purchased packaged bread including bagged bread, buns, rolls, bagels, naan, English muffins, wraps, pita, and tortillas between Jan. 1st, 2001, and Dec. 31st, 2021, are eligible to claim compensation.
The class-action outlines two settlement classes: one in Ontario for all Canadians outside Quebec, followed by one in Quebec for residents of the province.
The settlement was inclusive of a combined $404 million to be paid by Loblaw and the parent company, George Weston Ltd., while the remaining $96 million is being accounted for through a Loblaw gift card program from 2019 to make amends with shoppers who paid an additional $1.50 for packaged bread.
Eligible customers who did not take part in the gift card program will receive up to $25, with the exact amount dependant on factors such as the number of claims made that are approved as detailed by the settlement.
Any funds that remain following the initial claims will be distributed to those who had previously taken the gift card from the company.
According to the law firms behind the class-action, the allocated funds for businesses or other entities that purchased packaged bread for resale within that timeframe are being held in trust, with distribution expected at a later date.
The class-action first filed in 2021 by Strosberg Wingfield Sasso LLP alleged Loblaw and George Weston engaged in an industry-wide scheme to fix the price of bread.
While other companies denied involvement, Loblaw and Weston admitted to participation in the co-ordinated efforts to price bread to the Competition Bureau back in 2015, although it wasn’t made public until 2017.
The claims forms can be found online at CanadianBreadSettlement.ca for Canadians outside of Quebec as of December 31st, 2021. For those living in Quebec, the form can be found at QuebecBreadSettlement.ca.
All claims must be submitted by Dec. 12, 2025, with no proof of purchase required.
Meanwhile, class-actions continue against other industries leaders, including Metro, Sobeys, Walmart Canada, Canada Bread and Giant Tiger
