STORY: Grocery chains Albertsons and Kroger have terminated their merger plans after a court blocked the deal.

And that seems to have left some bad blood between the pair.

On Wednesday, Albertsons said it was suing Kroger for billions of dollars in damages.

It also wants a $600 million termination fee.

Albertsons says its would-be partner failed to take "any and all actions" to get the deal approved.

It says the firm should have shown more willingness to sell off assets to mollify regulators.

Kroger called the claims "baseless", and said it would defend itself in court.

In a statement, it said it was Albertsons that was guilty of multiple breaches of the merger agreement.

Two different courts blocked the deal on Tuesday, siding with federal and state watchdogs who said it would be bad for competition.

A combined firm would have been the second-biggest grocery chain in the U.S., with a market share of about 11%.

One analyst said the deal's collapse is actually a loss for the consumer, as it leaves no firm able to challenge the mighty Walmart.

It's the top player in the market, with a 17% share.

But the deal had become a symbol for the rising cost of living in the U.S., and faced fierce opposition from regulators who claimed it could drive shopping bills yet higher.

Food prices in the country are up 25% over the past four years, and were a major issue in the presidential election.