De Beers Antitrust Class Action

With co-counsel, Lieff Cabraser Heimann & Bernstein, LLP, serves as plaintiffs’ class counsel in a suit by diamond consumers against South African company De Beers, the world’s largest diamond supplier.

Allegations

Plaintiffs alleged that De Beers, a privately held group of foreign-based companies, had monopolized the international diamond business through its control of mines and a web of agreements with diamond suppliers in other countries. De Beers denied the allegation and maintained that it is not subject to the jurisdiction of United States courts.

Captioned Sullivan, et al. v. DB Investments, Inc., et al., the federal court class action names DB Investments, Inc., De Beers S.A., De Beers Consolidated Mines, Ltd., De Beers A.G., Diamond Trading Company, CSO Valuations A.G., Central Selling Organization, and De Beers Centenary A.G. as defendants.

Settlement Approved

On November 29, 2005, U.S. District Judge Stanley R. Chesler gave preliminary approval to a settlement of the class action.

Under the terms of the agreement, De Beers will pay $295 million to U.S. jewelry makers, retailers, and consumers who purchased diamonds and diamond jewelrybeginning in 1994. Equally significant, De Beers agreed to an injunction requiring it to abide by the United States federal and state antitrust laws, and to submit to the jurisdiction of United States courts for enforcement of the injunction.

Following preliminary approval of the settlement, Judge Chesler appointed a special master to consider the allocation and distribution of the settlement money among jewelry makers, retailers, and consumers.

In May 2008, Newark U.S. District Court Judge Chesler granted final approval to the settlement. To learn more about the settlement and to file a claim on-line, visit www.diamondsclassaction.com.

Contact

To contact a Lieff Cabraser attorney concerning the De Beers antitrust class action, please click here.

About Lieff Cabraser

Lieff Cabraser Heimann & Bernstein, LLP is a fifty-plus attorney law firm with offices in San Francisco, New York and Nashville. We represent businesses, governments and individuals as plaintiffs in class and group actions as well as in individual lawsuits in cases involving substantial losses. Since 2003, the National Law Journal has annually selected Lieff Cabraser as one of the top plaintiffs' law firms in the nation.

Lieff Cabraser has played a prominent role in federal litigation under the Sherman Act on behalf of businesses in numerous markets including computer components, prescription drugs, polypropylene carpets, compact discs, credit cards, linerboard, carbon fiber, plastic laminates, flat glass, industrial pigments and vitamins. We have also successfully litigated antitrust claims against Microsoft Corporation for monopolistic practices, and achieved record recoveries against El Paso Gas Co. and wholesale electric companies for allegedly manipulating the price of energy in California. Learn more about our firm.

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