Loblaw is settling its price-fixing class action lawsuits for $500M — Here's who's eligible
The infamous bread price-fixing scandal is finally seeing a settlement. 👀💰
Loblaw has agreed to a $500 million settlement in the infamous Canadian bread price-fixing scandal.
If you bought packaged bread in Canada anytime between 2001 and 2021, you could soon finally see a payout from a Loblaw price-fixing class action settlement.
A massive class action lawsuit in Canada accuses the country's biggest grocery chains of taking part in an industry-wide bread price-fixing scheme, and now Loblaw Companies Ltd. and its parent company, George Weston Ltd., have agreed to settle for $500 million.
The deal still needs court approval — but if it goes through, millions of Canadians may be eligible for compensation.
This class action lawsuit has been unfolding for years, with allegations that Canada's major grocery retailers and suppliers conspired to artificially inflate bread prices for nearly two decades.
While Loblaw and Weston are now settling their part in the case, lawsuits against other companies — including Canada Bread, Sobeys, Metro, Walmart Canada and Giant Tiger — are still ongoing.
So, how much money is on the table? Who qualifies? And what do you need to do to claim your share? Here's everything you need to know.
What's this settlement about?
Loblaw and Weston have been wrapped up in a nationwide bread price-fixing scandal, accused of working with other companies to overcharge Canadians for packaged bread. Now, instead of continuing to fight the claims, they've agreed to a $500 million settlement — but it still needs to be approved by the courts.
The Ontario settlement approval hearing is scheduled for May 5, while the Quebec hearing will take place on June 16. If the courts give the green light, the settlement will officially resolve all claims against Loblaw and Weston, meaning they won't face further legal action related to this matter.
However, the lawsuit is continuing against other grocery chains and suppliers that were allegedly involved.
Who can claim money?
If you're a Canadian resident who purchased pre-packaged bread or other qualifying bread products between January 1, 2001, and December 31, 2021, you're automatically included in the class action.
You don't need to do anything to be eligible, but once the courts approve the settlement, you'll have to submit a claim to receive a payout.
How much can you get?
Assuming the settlement is approved, the amount you'll receive depends on how many people file claims. The net settlement funds — after legal fees and administration costs — will be divided as follows:
- 78% for claimants outside Quebec
- 22% for claimants in Quebec
Most of the money — 99.5% of the net funds — will go to consumers who bought bread for personal use. The remaining 0.5% is set aside for businesses and other resellers, but the courts will determine later how that portion is distributed.
If you previously claimed a $25 Loblaw gift card as part of their earlier compensation program, that amount will be deducted from your final settlement payout.
What happens next?
If the courts approve the settlement, further details on how to submit a claim will be released. The final payout amount will depend on how many valid claims are submitted, so it's unclear right now exactly how much individuals will receive.
Here's what Canadians can do for now:
- Stay informed: You can sign up to receive updates at CanadianBreadSettlement.ca (for residents outside Quebec) or QuebecBreadSettlement.ca (for Quebec residents).
- Opt out or object (if you want to): If you don't want to be part of the settlement or want to submit your comments, the deadline to opt out or object is April 25 for non-Quebec residents and May 30 for Quebec residents.
- Wait for claims to open: If the settlement is approved, a claims process will be set up where eligible Canadians can apply for their share of the money.
While Loblaw and Weston are settling, the broader bread price-fixing lawsuit is still ongoing, with other major grocery chains facing legal action. This means there could be more settlements in the future, so keep an eye on updates.
For now, if you bought packaged bread in Canada over the last two decades, you might be owed some money — so stay tuned for more details on how to claim your share.
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