Essendant Accused of Industrial Products Monopoly Scheme

Staples Inc. subsidiary Essendant Industrial LLC was hit with a lawsuit alleging a scheme to monopolize the wholesale market for “professional industrial products” like adhesives, abrasives, and plumbing tools.

Essendant has leveraged its stranglehold on the industry to stifle competition and block new market entrants, according to the complaint filed by AgoNow LLC, which says it’s Essendant’s sole rival wholesaler. Essendant, doing business as ORS Nasco Inc., was acquired by Staples earlier this year.

ORS has allegedly conditioned its agreements with manufacturers and resellers on exclusive dealing terms that bar them from doing business with AgoNow or incentivize them ...