Drink Maker to Face Antitrust Claims Over Costco Price Breaks

Living Essentials, the maker of 5-Hour Energy drinks, must face revived antitrust claims over alleged wholesale price breaks given to Costco, after the Ninth Circuit partially reversed a lower court’s decision.

The US Court of Appeals for the Ninth Circuit on Thursday ruled that a district court erred when it found that Costco Wholesale Corp. operates and competes for different customers than other wholesalers with respect to 5-Hour Energy.

The US District Court for the Central District of California “abused its discretion in denying injunctive relief to the wholesalers on that basis,” the Ninth Circuit said.

The appeals court’s decision ...