Masonite and Jeld-Wen Reach Settlement Agreements for Class Action Suits

September 9th, 2020 by Drew Vass, Executive Editor

In filings with the U.S. Securities and Exchange Commission, door manufacturers Jeld-Wen Inc. and Masonite Corp. announced they’ve entered agreements to settle class-action lawsuits.

On August 31, both companies reached an agreement with Grubb Lumber Company and Philadelphia Reserve Supply Company, on their behalf and a class of direct purchasers of interior molded doors, agreeing to pay $28 million each to the plaintiffs and the settlement class. The suit was filed in 2018 alleging that, together, Jeld-Wen and Masonite conspired to fix prices by holding approximately 85% of the market for certain interior doors. Plaintiffs that bought interior molded doors indirectly through distributors sought relief under the Sherman Act, as well as under various state antitrust and consumer protection laws.

According to the terms of the settlement, Jeld-Wen and Masonite report they are to receive a full release of claims through the date of preliminary court approval.

In a separate settlement agreement made September 4, both companies report they agreed to pay $9.75 million each to the named plaintiffs of a separate, pending consolidated antitrust class action, the filing says, also for a full release of claims through the date of the settlement agreement.

Both agreements are subject to preliminary and final court approval, as well as other conditions.

In entering into settlements, officials for Jeld-Wen and Masonite say their companies continue “to believe that the claims lack merit and has denied any liability or wrongdoing for the claims made” against both companies.

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