AuctionsJun 10, 2026
31.62-Carat ‘Azure Blue’ Diamond Sells For $8M+ at Christie’sIt was a banner day for blue gemstones, with another blue diamond topping $8 million and a 41-carat sapphire going for $2.3 million.
EditorsJul 26, 2010
What's next for De Beers class-action suit?
After the whirlwind of news that was the last two weeks I feel compelled to circle back around and delve deeper into one of the big headliners: the decision on the De Beers class-action lawsuit. As many of you probably...
After the whirlwind of news that was the last two weeks I feel compelled to circle back around and delve deeper into one of the big headliners: the decision on the De Beers class-action lawsuit.
As many of you probably heard, on July 13 the U.S. Court of Appeals for the Third Circuit rejected the 2006 settlement De Beers reached with diamond buyers who sued the diamond giant based on allegations of price fixing, a violation of U.S. antitrust laws. Under the settlement, De Beers had established a $295 million fund to be distributed to millions of diamond buyers separated into two classes. Under the settlement, direct purchasers--companies that bought directly from De Beers or De Beers' mining competitors-were to share a pot of $22.5 million. Indirect purchasers, a group that includes retailers and consumers, were to divide up the remaining $272.5 million.
The court's latest decision likely leaves those with interest in this case (including interested consumers and retailers) with two main questions: Why was the settlement rejected? And, when will I ever get my money?
I'll attempt to answer these questions below, with input from Howard Bashman, the Pennsylvania attorney who filed the successful objection, and another class attorney in the case, Joe Tabacco of Berman DeVallerio in San Francisco.
Why?
In filing his objection, the point Bashman made--which the Third Circuit Appeals Court in Philadelphia agreed with--is that under antitrust laws in some states, you can only sue if you're the direct purchaser of a product or service.
So, Bashman argued, it was unfair for indirect purchasers from certain states to receive a portion of the settlement, since antitrust recovery is limited to only direct purchasers in the states where they reside. (As a point of note, according to the suit, the states are divided on the issue: about 25 allow indirect purchasers to recover in antitrust suits and 25 don't.)
"In this settlement, everyone got to recover no matter what state you're in," Basman says. "The consequences are people like my client are going to get less."
Bashman represents a single individual in this case, a woman from Texas, one of the states that allows indirect purchasers to sue in antitrust cases. Bashman is based in Willow Grove, Pa.
This is a short, simple explanation of the 75-page ruling in the case, which you can read in its entirety by clicking here.
Look at pages 29-31 for a breakdown
on which states allow indirect purchases to recover in antitrust cases and which don't.
While much has been written and said about the attorneys involved in this case, particularly those for the objectors, I think two points need to be made here. One, like the delay or not, Bashman brought forward a valid point of law or the court never would have agreed with his objection. Two, the court ruling points out that this type of sweeping settlement has never been attempted in an antitrust case before. The lawyers in this case were trying something new that seems to have failed, at least for now.
What happens now?
Bashman said the attorneys in the case have until July 27 to ask the appeals court to reconsider their decision. If they chose not to, or if the appeals court denies the request, it returns to the trial court.
There, any number of things could happen. What Bashman would like to see is a new settlement organized on a state-by-state basis and limited to indirect purchasers who live in states with antitrust laws that allow them to sue, potentially meaning more money for those individuals.
Or, as Gemological Institute of America (GIA) diamond expert Russell Shor speculated in the July 16 GIA Insider e-newsletter, the case could splinter into separate lawsuits.
Will I ever get my money?
It's pretty widely known at this point that while the big diamond guys--the direct purchaser class --could net a substantial sum, the recovery for smaller players isn't going to be as much. But these days, money is money and I don't know many retailers that would turn down a check for any amount, no matter how miniscule.
Tabacco said the appeals court decision could delay the distribution of funds by four to 12 months or longer.
Stay tuned...
While much has been written and said about the attorneys involved in this case, particularly those for the objectors, I think two points need to be made here. One, like the delay or not, Bashman brought forward a valid point of law or the court never would have agreed with his objection. Two, the court ruling points out that this type of sweeping settlement has never been attempted in an antitrust case before. The lawyers in this case were trying something new that seems to have failed, at least for now.
What happens now?
Bashman said the attorneys in the case have until July 27 to ask the appeals court to reconsider their decision. If they chose not to, or if the appeals court denies the request, it returns to the trial court.
There, any number of things could happen. What Bashman would like to see is a new settlement organized on a state-by-state basis and limited to indirect purchasers who live in states with antitrust laws that allow them to sue, potentially meaning more money for those individuals.
Or, as Gemological Institute of America (GIA) diamond expert Russell Shor speculated in the July 16 GIA Insider e-newsletter, the case could splinter into separate lawsuits.
Will I ever get my money?
It's pretty widely known at this point that while the big diamond guys--the direct purchaser class --could net a substantial sum, the recovery for smaller players isn't going to be as much. But these days, money is money and I don't know many retailers that would turn down a check for any amount, no matter how miniscule.
Tabacco said the appeals court decision could delay the distribution of funds by four to 12 months or longer.
Stay tuned...
The Latest
MajorsJun 10, 2026
Saks Global Receives Bankruptcy Court Approval for ReorganizationThe approval means the retailer is on track to exit bankruptcy proceedings this summer.
CrimeJun 10, 2026
2 Suspects Arrested in Texas Jewelry Store RobberyThe men are believed to be part of the group of several masked suspects that robbed Marc Robinson Jewelers in April.
Brought to you by
All Eyes on Gold Prices. Alternatives to Look For. And What to BEWARE of in VegasAs gold prices rise, today’s retailers are looking for alternatives at prices that will appeal to wider audiences.
CollectionsJun 10, 2026
Sylvie Debuts ‘Elevated’ Bridal Collection Inspired By Designer’s RingThe bridal-focused brand is also launching its Custom Atelier this summer, a digital custom design tool for its authorized retailers.
Weekly QuizJun 05, 2026
This Week’s QuizTest your jewelry news knowledge by answering these questions.
MajorsJun 09, 2026
Wilkerson's Russ Whitehouse RetiresThe industry veteran is bringing his 56-year run in the fine jewelry sector to an end.
Events & AwardsJun 09, 2026
Pride Month Panel to Highlight LGBTQ+ Jewelry VoicesThe panel discussion will feature LGBTQ+ leaders across the jewelry, luxury, and creative industries.
Brought to you by
How Modern Training Is Becoming a Competitive Advantage for Jewelry RetailersWith the trade and customer trust in mind, GIA® developed NextGem™ – on-demand training designed specifically for retail.
CollectionsJun 09, 2026
Marie Lichtenberg’s New Capsule Collection Is a Smash, LiterallyInspired by a locket that got run over, the “Smash” capsule collection reimagines the shape of Lichtenberg’s signature style.
MajorsJun 09, 2026
Frederick Goldman Names Director of Sales for SoutheastThe company has promoted Katherine Whitacre to the role.
MajorsJun 08, 2026
Stuller Expands Selection of Lab-Grown Diamonds, Demi-Fine JewelryThe jewelry manufacturer has added Taylor Swift-esque diamond shapes, and more silver, gold vermeil, and gold-plated jewelry.
SourcingJun 08, 2026
Sally Morrison to Depart De Beers This Summer Morrison has been marketing diamonds on and off since the early 2000s and said she is leaving to “pursue new projects.”
TrendsJun 08, 2026
Amanda’s Style File: June’s Birthstone TrioThose born in June can celebrate with pearl, alexandrite, and moonstone jewelry.
TechnologyJun 08, 2026
Overnight Mountings Launches Ring Builder PlatformThe platform allows retailers to guide clients through a customizable engagement ring buying experience in a branded interface.
IndependentsJun 05, 2026
Pennsylvania Jewelry Store To Close After 79 YearsJim Springer, owner of Dunkelberger’s Fine Jewelry, is heading into retirement.
SurveysJun 05, 2026
Consumers to Cut Back on Spending Amid Rising Prices, Survey Shows When conducting its May consumer confidence survey, The Conference Board asked extra questions about consumers’ budgeting strategies.
CollectionsJun 05, 2026
Rebel Jewelry’s Charm Symbolizes Perseverance for Pride MonthThe “Tunnel” charm, our Piece of the Week, celebrates Pride Month with its design inspired by hope and the light at the end of the tunnel.
SourcingJun 05, 2026
State of Diamonds: The Way Forward for Natural DiamondsThe jewelry industry is reassessing its positioning as Gen Z reshapes the retail landscape and lab grown continues to gain market share.
AuctionsJun 04, 2026
Treasures from Maurice Tempelsman’s ‘Marvelous’ Life Head to AuctionUp for auction at Sotheby’s, the collection of Tempelsman’s personal effects includes a Cartier Tank watch Jackie O. gifted him.
CollectionsJun 04, 2026
Buddha Mama to Spend the Summer in AspenThe Miami-based fine jewelry brand will host its first summer residency in the Colorado mountain town from June 5 to Aug. 23.
MajorsJun 04, 2026
AGS Honors Late Peter Yantzer, Holds Time Capsule CeremonyThe organization also announced its international board of directors for the 2026-2027 term.
MajorsJun 04, 2026
Neiman Marcus’ Downtown Dallas Store to Close in SeptemberSaks Global confirmed the closure this week, spelling the end for a store that’s been part of downtown Dallas for more than 100 years.
ColumnistsJun 03, 2026
Peter Smith: When Top Talent Leaves and What It Says About YouSmith discusses how managers should handle a top performer's exit, warning that a poor response could have a lasting impact.
GradingJun 03, 2026
GIA’s Tracr Investment Is First Step Toward Industry-Owned PlatformThe Gemological Institute of America is now a 30 percent stakeholder in Tracr, the De Beers-backed blockchain for diamonds.
WatchesJun 03, 2026
The 1916 Company Taking Pre-Owned Rolexes on the Road, AgainThe retailer is bringing Rolex Certified Pre-Owned watches to five U.S. cities in 2026 for collectors to see, try on, and purchase.
IndependentsJun 03, 2026
Jessica Alba Is the New Face of Gabriel & Co.The actress and entrepreneur stars in the jeweler’s new campaign that celebrates life’s quiet moments.
TrendsJun 03, 2026
State of Design: Only the Innovative Will SurviveThe price of gold has risen, affecting the number of pieces designers make, the materials they use, and how they position themselves.
