The reason for the antitrust litigation settlement to purchasers of liquid aluminum sulfate

USALCO, Southern Ionics, and American Securities have agreed to pay a total of $25.6 million to resolve claims that they fixed the price of liquid aluminum sulfate.

The settlement will benefit direct purchasers of liquid aluminum sulfate between Jan. 1, 1997 and Feb. 28, 2011. Indirect purchasers are not included in this settlement. A full list of defendants can be found in the “Who’s Eligible” section below.

The antitrust class action lawsuit was filed by several cities and water companies across numerous states. According to the plaintiffs, several defendants conspired together for years to artificially fix the price of liquid aluminum sulfate.

Liquid aluminum sulfate, sometimes referred to as “Alum,” is a chemical used for treating drinking water, controlling algae in bodies of water, treating wastewater, and for certain manufacturing purposes.

USALCO, Southern Ionics, and American Securities have all agreed to pay into a settlement fund to resolve the claims against them, although they do not admit any wrongdoing. USALCO has agreed to pay $6.1 million, Southern Ionics has agreed to pay $6.5 million, and American Securities has agreed to pay $13 million.

Aluminium sulfate is used in water purification and as a mordant in dyeing and printing textiles. In water purification, it causes suspended impurities to coagulate into larger particles and then settle to the bottom of the container (or be filtered out) more easily. This process is called coagulation or flocculation.

Leave a Reply