Standard Setting Abuse Case to Move Forward

Eastern District of Texas Judge Leonard Davis refused to dismiss Encore Wire Corp’s claim that competitor Southwire Inc. violated California state antitrust laws by lobbying for an industry standard without disclosing that it owned a patent that would be infringed by wire conforming to the standard.  Southwire sought dismissal on the ground that the statute of limitations had run since it the standard had been adopted.  The court declined to dismiss the antitrust claim on the ground that Southwire’s filing of a patent infringement action against Encore was an overt act in furtherance of the anticompetitive scheme.

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