A coalition of eight U.S. states and Washington, D.C. has launched legal action to recover more than $10 million in litigation costs from Kroger and Albertsons, following the successful blocking of their proposed $24 billion merger.
The petition, filed in the U.S. District Court in Oregon, comes after negotiations between the states and the retailers failed to produce an agreement on reimbursement. The states argue that the costs incurred were necessary and proportionate to the scale of the case.
Working alongside the Federal Trade Commission, the states secured a preliminary injunction in December 2024, halting a deal they maintained would significantly reduce competition across the grocery sector.
According to the filing, the $10.3 million sought represents only a small share of the estimated $1.5 billion spent by the two companies in their attempt to complete the merger. Officials insist the amount reflects the complexity of the investigation and the resources required to challenge a transaction of such magnitude.
California is seeking the largest reimbursement, requesting approximately $5.1 million, primarily to cover legal fees. Oregon, which is leading the case, is claiming around $2.3 million.
Smaller claims have been submitted by Wyoming and New Mexico, seeking roughly $34,000 and $3,000 respectively, reflecting more limited involvement in the litigation.
The legal pathway for reimbursement was opened by U.S. District Judge Adrienne Nelson, who not only granted the injunction blocking the merger but also authorised the states to pursue recovery of their legal expenses in a subsequent order issued in February.
In a statement, Oregon’s Department of Justice framed the move as part of a broader trend of state-led antitrust enforcement, suggesting that local authorities are increasingly stepping in where federal action has slowed.
Officials added that reclaiming litigation costs would help ensure states remain equipped to challenge future mergers they consider anti-competitive.
Neither Kroger nor Albertsons had issued a response at the time of writing.