Sainsbury’s V M&S
Posted on: 22/10/19
M&S read the signs and took control of the money due to its Welsh Farmers whereas Sainsbury’s appear to have taken no action to protect its farmers. In addition Sainsbury’s allegedly paid Tomlinson’s on a daily basis to aid cash flow.
That may have helped Tomlinson’s but having made that move Sainsbury’s are exposed without any trunks on now the tide has gone out because the farmers want paying and Sainsbury’s were aware of how serious the financial position of Tomlinson’s was.
These 40 or so SDDG farmers were definitely encouraged, persuaded and induced to give up a Muller contract in favour of a Tomlinson’s contract and that will be cannon fodder for the lawyers if they get a shot at the retailer. At least one litigation funder is smelling blood along with at least one legal firm who is using these words plus ‘enticement and pressure’.
Sainsbury’s have to show their hand because the farmers are now overdue their September milk payment and are starting to get anxious and showing signs of wanting answers and money.
One suggested to Ian Sainsbury’s are like rhinoceroses and thick skinned. But they aren’t complete idiots (yet to be confirmed) and are highly unlikely to let this proceed to court.