U.S.-based labeling technology company Hurst International is suing Sinclair Systems over what it says are anticompetitive practices. 

Hurst filed suit last week filed suit claiming that Sinclair is engaging in "unlawful and competitively exclusionary conduct such as below-cost pricing and entering into contracts in an effort to charge higher prices in markets where Hurst does not compete."

Sinclair is the largest manufacturer of fruits and vegetable labels and the application systems, with an estimated market share of more than 70%, a release said.

"Hurst is seeking the court’s assistance to stop Sinclair from continuing to engage in anticompetitive conduct, which includes providing customers with free equipment, free labels and labels offered at deep discounts for the purpose of locking-out competition and maintaining their market share," it said.

It claimed these alleged practices result in "an anti-competitive environment for all of Sinclair’s competitors."

"The purpose of the suit is to ensure a “level playing field” for all labeling companies and allow the produce industry the ability to adopt critical new technologies that vastly increase food safety," it said.

Hurst is the originator of the 'Print on Demand' Versaprint labeling system and also developed Direct Thermal Printing technology.

In a statement sent to Fresh Fruit Portal, Sinclair refuted all claims and allegations.

"Sinclair denies Hurst’s allegations and intends to vigorously defend against Hurst’s claims in the lawsuit," said Sinclair CEO Colin P. Woodward.

"Sinclair has at all times competed lawfully and in full compliance with the antitrust laws; Hurst’s allegations of anticompetitive conduct are meritless.  

"Sinclair’s success is the result of the high quality of its products and its extraordinary level of customer service. Sinclair remains focused on serving its customers and will not be distracted from that mission."

Photos: Hurst International

www.freshfruitportal.com