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Grocery-store Retailers Ask Judge To Protect Info

The Associated Press

NEW YORK (AP) — Several grocery-store chains on Tuesday asked a judge to keep their trade secrets — submitted during the Federal Trade Commission's challenge of Whole Food's acquisition of rival Wild Oats Inc. — protected as part of a subsequent class-action lawsuit.

In 2007, The Kroger Co., Delhaize America Inc., New Seasons Market Inc., Gelson's Markets, Save Mart Supermarkets, H.E. Butt Grocery Co., Ahold U.S.A. Inc. and Harris Teeter Inc. were subpoened for information including "highly confidential strategic planning documents that provide information regarding store expansions, new store openings, as well as operating objectives and competitive reports," they said in a joint legal filing.

They also provided operating statements, including sales and gross profit by store and department.

At the time, the court issued a protective order that safeguarded the information with a steep $250,000 fine and even suspension or disbarment for any attorneys who violated the order.

However, in a subsequent lawsuit, Kottaras v. Whole Foods Market Inc., plaintiffs have asked for Whole Foods to produce the material that had been protected in the previous case.

The companies said the plaintiffs have not served a subpoena for the information, demonstrated a need for the information or agreed to be bound by the protective order.

The companies are requesting the court notify the grocery chains to set a briefing schedule on the matter so that they can explain why they think the information should be protected. Or alternatively, they ask that the court grant the motion to enforce the same protective order from the previous case.

In March, Whole Foods agreed to sell 13 of its stores to settle the FTC's challenge of its $565 million acquisition of Wild Oats Markets.