A coalition of some of the world’s largest spirits suppliers owes over $35 million CAD — or $30 million USD — to the Liquor Control Board of Ontario (LCBO), the Toronto Star reported. A judge ruled that members of the trade body Spirits Canada, including Diageo, Campari, and Bacardi, must refund the LCBO after disobeying the country’s most favorable customer (MFC) clause.
The decision comes after the collective of liquor companies sued LBCO in May 2024 for unfairly enforcing the MFC. The clause requires sellers to offer the lowest possible price on goods to a buyer with the MFC. If a supplier is looking to sell its products to a different buyer at a lower price, the supplier must also offer the lower price to the buyer with the MFC, as indicated by the law.
