Uncle Sam is always watching, even if you’re a major brand like Pepsi or Walmart. The Federal Trade Commission, or what we will call FTC from here on, has filed a major lawsuit against Pepsi for colluding with Walmart to keep prices lower at Walmart stores than any other stores.

The U.S. Federal Trade Commission sued PepsiCo on Friday for offering preferential pricing to a large retailer, whom a source familiar with the matter confirmed was Walmart .

Outgoing agency Chair Lina Khan has filed a raft of measures during her last week in office.

Shares of PepsiCo ($PEP) were in the spotlight on Friday after the Federal Trade Commission announced it plans to sue the consumer giant on allegations of price discrimination, with retail sentiment turning cautious.

The lawsuit, filed on 17 January 2025, contends that PepsiCo's preferential treatment of a retailer constituted a breach of the Robinson-Patman Act (RPA), a legislation designed to protect fair competition by prohibiting anticompetitive price discrimination.