LCBO, Beer Store face legal action over secret ‘sweetheart deal’

Revelations of a secret deal to carve up Ontario’s beer market between the big-brewer-owned Beer Store and the provincially owned Liquor Control Board of Ontario have spawned a proposed class-action lawsuit demanding $1.4-billion in damages on behalf of beer drinkers.

A five-page notice of action filed on Friday in Toronto in Ontario Superior Court alleges the retail outlets engaged in a “conspiracy to fix, raise, maintain or stabilize prices of beer in Ontario” and “participated in illegal and secretive discussions and made agreements relating to prices and distribution areas of beer in Ontario.”