William B. Cassidy | Mar 01, 2011 10:40AM EST
The Justice Department is investigating possible anticompetitive behavior in the time-sensitive parcel market, a department spokeswoman confirmed today.
Although she declined to name the companies being investigated, UPS and FedEx have said they are being probed by the DOJ for possible antitrust violations.
In its 10-K annual report last month, UPS said the DOJ's antitrust division is investigating its policies and practices for dealing with third-party negotiators.
"We are cooperating with this investigation," UPS said. "We deny any liability with respect to these matters and intend to vigorously defend ourselves."
The investigation follows a lawsuit filed last year by AFMS Logistics Management, a third-party consultant that works with shippers to reduce parcel-shipping costs.
AFMS alleges UPS and FedEx conspired to prevent shippers from using the services of third-party rate negotiators in contract talks, according to published reports.
-- Contact William B. Cassidy at wcassidy@joc.com.
