France: Government to sue E.Leclerc over supplier issues
Leclerc has been heavily pushing on prices over the past few quarters as it looks to gain ground on rivals and consolidate its position in the local retail market. The Ministry claims that the group has forced suppliers to accept a clause that requires the latter to defend the contract in the event of litigation brought by a third party. It added that such a move puts suppliers in the position “of having to choose between its own interests at the risk of jeopardizing its relationship with the distributor, or to side with the latter and go against its own interests”.
The government has previously unsuccessfully filed a legal complaint against Leclerc, which was only earlier this year dismissed by a commercial court.
Source: kamcity.com