The Australian Competition and Consumer Commission is concerned about advertising showing chickens in barns with plenty of room.

It's going after several companies, including Baiada Poultry and Bartter Enterprises, which supply chickens for the Steggles brand.

The ACCC says the companies have engaged in false, misleading and deceptive conduct.

According to ABC, the Australian Chicken Meat Federation is also in the ACCC's sights, for allegedly making misleading representations about the amount of space chickens have in the barns.

The Australian Chicken Meat Federation declined to comment, as did the ACCC.

Baiada Poultry declined an interview request, but in a written statement the company said it had refered the matter to its legal team.

"The ACCC has commenced legal proceedings against Baiada Poultry alleging that the use of the term "free to roam in large barns" in its advertising is false and misleading," it said.

"Baiada Poultry strongly refutes the allegation being made by the ACCC."

The matter was filed in the Federal Court in Melbourne.

Baiada Poultry's website says one of its chicken houses normally holds about 45,000 chickens, with a total body mass of 120,000 kilograms.

"During a single growing batch, these chickens will consume 200 tonnes of feed, drink 600,000 litres of water and produce 30 tonnes of chicken manure," the website says.