Cal-Maine Foods has agreed to donate over 2 million eggs to food banks across Texas as part of a settlement reached on January 15, 2026, related to a price-gouging lawsuit. The legal action was initiated in April 2020, when Texas Attorney General Ken Paxton accused the company of raising egg prices by approximately 300% during the early days of the COVID-19 pandemic, despite not experiencing significant supply disruptions.
Under the terms of the settlement, Cal-Maine will distribute 180,000 dozen large eggs to various food banks within the next 120 days. Paxton emphasized the commitment of his office to combat illegal price increases affecting Texans, labeling the settlement as a crucial step in addressing what he termed the company’s unethical behavior.
Distribution Details
The distribution of the eggs will impact several food banks across Texas, with North Texas Food Bank and Houston Food Bank receiving at least 30,000 dozen eggs each. Other food banks will also benefit from the donation, including:
- At least 20,000 dozen eggs to Tarrant Area Food Bank, Central Texas Food Bank, and San Antonio Food Bank;
- At least 10,000 dozen eggs to Food Bank of the Rio Grande Valley, East Texas Food Bank, and El Pasoans Fighting Hunger Food Bank;
- At least 5,000 dozen eggs to Coastal Bend Food Bank, South Texas Food Bank, Southeast Texas Food Bank, and South Plains Food Bank;
- At least 2,000 dozen eggs to High Plains Food Bank, West Texas Food Bank, Food Bank of West Central Texas, Food Bank of the Golden Crescent, and Wichita Falls Area Food Bank.
Additionally, the settlement imposes restrictions on Cal-Maine’s pricing practices, preventing the company from selling eggs at rates that violate the Texas Deceptive Trade Practices Act during disaster periods. Paxton noted that these reforms aim to prevent similar instances of price gouging in the future.
