Egg Giants Settle Price-Fixing Suit Impacting Iowa Shoppers

Three major egg producers will pay $3.3 million and donate 53 million eggs to settle claims they illegally colluded to raise prices. Cal-Maine Foods, Versova, and Hickman's Egg Ranch reached the settlement agreements with the U.S. Justice Department and 17 states, including Iowa. The complaint was filed in Iowa on Monday.

How Did Egg Producers Allegedly Manipulate Prices?

Federal and state investigators accused the companies of a behind-the-scenes arrangement to artificially inflate daily price quotations for eggs between June 2022 and March 2025. The probe found that Cal-Maine, Versova, and Hickman's coordinated their bids to Urner Barry Publications, which runs an index that determines how much grocery stores and restaurants pay for billions of eggs every year.

This coordination led directly to higher prices for consumers, according to the complaint. New York Attorney General Letitia James, who helped lead the investigation, stated that working families suffer when powerful corporations collude behind the scenes to raise prices.

These egg producers manipulated the market to squeeze even more profit out of consumers and businesses.

What Does the Settlement Mean for Iowa Consumers?

Average U.S. egg prices soared to a record high of roughly $6.23 per dozen in March 2025. At the time, the country was facing a bird flu epidemic that forced farmers to slaughter millions of chickens. While egg producers blamed the outbreak for the price spike, critics argued that big companies used their market dominance to price gouge everyday Americans.

The complaint noted that price quotations dropped significantly after the companies learned of the Justice Department's investigation and were instructed to preserve documents in March 2025. Consumer egg prices later fell to under $2.20 per dozen as of May 2026, as replenished flocks caught up with demand.

Under the settlement, the 53 million donated eggs will go to food banks and nonprofits. The $3.3 million will be distributed among the 17 states involved in the lawsuit. The companies must also adopt antitrust compliance programs and are banned from communicating with competitors about pricing and bidding strategies.

How Did the Egg Companies Respond?

None of the companies admitted wrongdoing as part of the settlement. Cal-Maine Foods maintained that the allegations of price manipulation were baseless and believes its conduct has been legal. The company noted it left the cooperative with the other producers in May 2024.

Sherman Miller, the CEO of Cal-Maine, said the settlement enables the company to move forward and devote its full attention to delivering affordable, high-quality eggs to consumers nationwide. Miller pointed out that the reviewed period was particularly challenging due to avian flu, the COVID-19 pandemic, and severe weather that caused temporary supply shocks.

Versova highlighted the toll bird flu took on its farmers, stating that farmers do not set the wholesale price of eggs. The company said the price of most of its eggs depends on the fluctuating cost of grain used in hen feed. Hickman's owner, Mantiqueira USA, which acquired the egg producer in November, said the conduct referenced in the complaint predates their acquisition and committed to complying with the law.

Are Critics Satisfied With the Egg Price Settlement?

Some advocacy groups argue the settlement does not go far enough to hold corporations accountable. Angela Huffman, president of Farm Action, said consumers paid record prices while dominant egg producers reported extraordinary profits. Huffman argued the result is just another settlement that corporations can treat as the cost of doing business rather than facing meaningful accountability.

Cal-Maine, the only public company among the three, reported a profit of $1.22 billion for the 2025 fiscal year. Under its settlement agreement, Cal-Maine will pay $1.5 million and donate 30 million eggs. Versova will provide 20 million eggs and $800,000, while Hickman's will provide 3.25 million eggs and $1 million.

The proposed settlements still require court approval. Justice Department official Omeed A. Assefi said Tuesday that the proposed settlements resolve years of conduct that dragged on Americans' finances and their everyday lives.

Which States Were Part of the Egg Price-Fixing Settlement?

In addition to New York and Iowa, the following states were party to the settlement agreements: Arizona, California, Colorado, Connecticut, Florida, Hawaii, Maryland, Minnesota, North Carolina, Ohio, Pennsylvania, Texas, Utah, Vermont, and Wisconsin.

Frequently Asked Questions About the Egg Price-Fixing Settlement

Which egg producers settled the price-fixing claims?

Cal-Maine Foods, Versova, and Hickman's Egg Ranch settled the price-fixing claims with the U.S. Justice Department and 17 state attorneys general.

How much will the egg producers pay in the settlement?

The companies will collectively pay $3.3 million, which will be distributed to the states, and donate 53 million eggs to food banks and nonprofits.

How did the egg producers allegedly fix prices?

The companies allegedly coordinated their bids to Urner Barry Publications, an index provider, to artificially inflate the daily price quotations for eggs between June 2022 and March 2025.