Case: 1:16-cv-08637 Document #: 3866 Filed: 10/15/20 Page 1 of 6 PageID #:262049
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`IN THE UNITED STATES DISTRICT COURT
`FOR THE NORTHERN DISTRICT OF ILLINOIS
`EASTERN DIVISION
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`IN RE BROILER CHICKEN ANTITRUST
`LITIGATION
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`This Document Relates To: ALL CASES
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`No. 1:16-cv-08637
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`Hon. Thomas M. Durkin
`Magistrate Judge Jeffrey T. Gilbert
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`DIRECT PURCHASER PLAINTIFFS’ MOTION TO
`APPOINT SPECIAL MASTERS FOR SETTLEMENT
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`Direct Purchaser Plaintiffs (“DPPs”), through their undersigned counsel, and pursuant to
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`Rule 53 of the Federal Rules of Civil Procedure, hereby move this Court for entry of an Order
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`appointing Special Masters for Settlement. In support, DPPs state the following:
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`As it said in its September 22, 2020 Order, the Court’s goal is the “expedient resolution of
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`this case.” (ECF No. 3835 at 8.) DPPs share that goal. After more than four years of litigation,
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`motions for class certification will be filed in two weeks and the close of fact discovery is in sight.
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`As the Court stated, “an immense amount of motion practice and discovery has occurred” to date.
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`(ECF No. 3835 at 5–6.) In light of upcoming class certification motion practice, related expert
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`discovery, considerations raised by the DOJ’s recent Superseding Indictment, and other remaining
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`pretrial matters, DPPs believe that at this juncture the Court should consider appointing Settlement
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`Masters to facilitate settlement discussions.
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`The Court previously inquired about settlement discussions on February 6, 2018 and on
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`occasion since then, even suggesting setting aside a day to sit down with the parties to “talk about
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`where this case is going” and the potential for settlement of this complex litigation. (See, e.g., Ex.
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`A, Feb. 6, 2018 Hr’g Tr. at 14:18–19; Ex. B, Nov. 13, 2018 Hr’g Tr. at 11:20–18:20.) The timing
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`may not have been right at that time but DPPs respectfully suggest that it may be now. Significant
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`Case: 1:16-cv-08637 Document #: 3866 Filed: 10/15/20 Page 2 of 6 PageID #:262050
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`work remains to be done. The class plaintiffs are on the cusp of moving for class certification,
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`which will require the parties to undertake class expert discovery and related Daubert motions.
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`This will be followed by merits expert discovery, summary judgment, and more Daubert motion
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`practice. Finally, in just over two years, there will be trials in those cases that are not settled or
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`otherwise resolved. But proceedings will not end there. The Court has acknowledged that the
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`related bid-rigging claims, which are stayed until the supply reduction and Georgia Dock claims
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`are resolved, will necessitate more document discovery and “likely re-taking of hundreds of
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`depositions.” (ECF No. 3835 at 6.) If not settled, the bid-rigging claims then will require further
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`pretrial proceedings, summary judgment, and trials.
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`DPPs propose two distinguished and eminently qualified candidates as Special Masters,
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`both well known to this Court. The first is the Honorable Ruben Castillo (Ret.), former Chief Judge
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`of this Court. Judge Castillo presided over multiple antitrust and class action cases during his 25
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`years on the bench, and he succeeded in settling difficult cases. The second is the Honorable
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`Morton Denlow (Ret.), former Magistrate Judge for this Court. Judge Denlow has particular
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`expertise settling complex class action antitrust cases. He successfully mediated a $97.5 million
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`settlement in a class action antitrust case against producers of potash, a $4.8 million settlement
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`involving the containerboard and corrugated paper industry, and a $39 million settlement involving
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`liquid crystal display (LCD) panels. Both Judge Castillo and Judge Denlow have the experience
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`and skills to resolve this challenging case. Both also have expressed interest in the role and are
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`willing to serve as Special Masters.
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`Although both Judge Castillo and Judge Denlow are separately qualified to independently
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`serve as a Special Master, given the number of parties and the potential for conflicts of interest,
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`DPPs put forward that they both be appointed to jointly serve as Special Masters. Having two
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`Case: 1:16-cv-08637 Document #: 3866 Filed: 10/15/20 Page 3 of 6 PageID #:262051
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`Special Masters will aid with timing, while their differing styles will also serve as a benefit: where
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`one is not successful the other may succeed. However, if the Court prefers to appoint only a single
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`Special Master, DPPs are equally amenable to the selection of either Judge Castillo or Judge
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`Denlow. DPPs suggest that the appointments occur now with initial meetings to begin in
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`November, with status reports to the Court as appropriate. Appointing Special Masters to focus on
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`settlement will allow the case and settlement talks to proceed on parallel tracks, thereby avoiding
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`any additional delays to the case schedule.
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`Settlement masters have proven successful in large, complex class actions. For instance, in
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`In re Automotive Parts Antitrust Litig., No. 2:12-md-02311 (E.D. Mich.), the court appointed a
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`Settlement Master at the parties’ request, after concluding that “pursuant to Federal Rule of Civil
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`Procedure 53(a)(1)(C), the appointment of a master would aid significantly the progress of this
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`litigation without imposing unreasonable expenses on the parties.” (Ex. C, Feb. 14, 2017 Amended
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`Order Appointing Settlement Master at p. 1.) The Settlement Master in Auto Parts mediated
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`several successful settlements. Moreover, mandatory mediation has already had positive results
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`during COVID-19 in the Circuit Court of Cook County, despite parties’ initial unwillingness,
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`where General Administrative Order 20-7 mandated “pre-trial of cases that were ready for trial but
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`were not permitted to proceed due to the COVID-19 pandemic.” (Ex. D, Aug. 26, 2020 Gen.
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`Admin. Order 20-7 at p. 1.)
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`DPPs have spoken with liaison counsel for Defendants. Defendants will not join this
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`motion. It is likely that some or all of Defendants will oppose the motion but need to see what is
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`filed before they can take a definitive position.
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`WHEREFORE, for these reasons, Direct Purchaser Plaintiffs respectfully request this
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`Court enter an Order appointing Special Masters for Settlement pursuant to Rule 53 of the Federal
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`Rules of Civil Procedure.
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`Case: 1:16-cv-08637 Document #: 3866 Filed: 10/15/20 Page 5 of 6 PageID #:262053
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`s/ Steven A. Hart
`Steven A. Hart (#6211008)
`Brian Eldridge (#6281336)
`John Marrese (#6306516)
`Kyle Pozan (#6306761)
`HART MCLAUGHLIN & ELDRIDGE, LLC
`22 West Washington Street, Suite 1600
`Chicago, IL 60602
`T: (312) 955-0545
`F: (312) 971-9243
`shart@hmelegal.com
`beldridge@hmelegal.com
`jmarrese@hmelegal.com
`kpozan@hmelegal.com
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`Direct Purchaser Plaintiffs Interim Liaison
`Class Counsel
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`Dated: October 15, 2020
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`W. Joseph Bruckner
`Brian D. Clark
`Simeon A. Morbey
`LOCKRIDGE GRINDAL NAUEN P.L.L.P.
`100 Washington Avenue South, Suite 2200
`Minneapolis, MN 55401
`T: (612) 339-6900
`F: (612) 339-0981
`wjbruckner@locklaw.com
`bdclark@locklaw.com
`samorbey@locklaw.com
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`Bruce L. Simon
`Neil Swartzberg
`PEARSON, SIMON & WARSHAW, LLP
`350 Sansome Street, Suite 680
`San Francisco, CA 94104
`T: (415) 433-9000
`F: (415) 433-9008
`bsimon@pswlaw.com
`nswartzberg@pswlaw.com
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`Clifford H. Pearson
`Daniel L. Warshaw
`Michael H. Pearson
`Bobby Pouya
`PEARSON SIMON & WARSHAW, LLP
`15165 Ventura Boulevard, Suite 400
`Sherman Oaks, CA 92403
`T: (818) 788-8300
`F: (818) 788-8104
`cpearson@pswlaw.com
`dwarshaw@pswlaw.com
`mpearson@pswlaw.com
`bpouya@pswlaw.com
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`Direct Purchaser Plaintiffs Interim Co-
`Lead Class Counsel
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`Case: 1:16-cv-08637 Document #: 3866 Filed: 10/15/20 Page 6 of 6 PageID #:262054
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`CERTIFICATE OF SERVICE
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`I, Steven A. Hart, depose and state that I have served a copy of Direct Purchaser Plaintiffs’
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`Motion to Appoint Special Master for Settlement upon all counsel of record via the United States
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`Court for the Northern District of Illinois’ CM/ECF Document Filing System on October 15, 2020.
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`By: s/ Steven A. Hart
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`[x] As provided by law pursuant to Rule 5(b) of Fed. Rules
`of Civil Procedure, I certify that the statements set forth
`herein are true and correct.
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