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Local News

Teamsters drop lawsuit opposing Central Grocers sale

The Central Grocers distribution center on West Haven Avenue in Joliet is seen.
The Central Grocers distribution center on West Haven Avenue in Joliet is seen.

JOLIET – Teamsters Local 703 has agreed to withdraw a lawsuit that would have impeded a sale of Central Grocers, the union announced Thursday.

Withdrawing the motion, which was filed in federal court last week, will "allow the seller and buyer to proceed with exploration of the potential transaction without the disruption of litigation," the union stated in a news release.

The union stated it received assurances "regarding a potential transaction" and "certain confidential information" that will allow the Teamsters to assess the impact of a sale on its labor contracts and members.

The Teamsters local represents about 300 workers at Central Grocers' warehouse in Joliet.

The union had filed the lawsuit after learning that the company was planning to sell its Joliet facility.

Central Grocers, which is based in Joliet, is a grocery wholesaler that supplies about 400 independent supermarkets in the Chicago region and northwest Indiana.

The company also owns the Strack & Van Til supermarket chain, which includes Ultra Foods stores. Strack & Van Til announced last week that Central Grocers is attempting to sell 22 of the stores, while closing nine Ultra Foods supermarkets.

The Ultra store in Joliet is among those being closed by June 18.

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