Foreign Consumer’s Injury Not Directly Linked to Anticompetitive Effect in the U.S.

The Nineth Circuit recently upheld the dismissal of a price fixing case against computer memory chip manufacturers that had been filed by Centerprise, a British computer manufacturer.  The court held that the Foreign Trade Antitrust Improvements Act requires a foreign consumer to show that its injury flowed directly from anticompetitive effects of the defendants’ conduct in the United States.  Centerprise had argued that the defendants’ worldwide price fixing conspiracy could not have been effective unless the U.S. market was included.  The court found this allegation insufficient to establish the requisite direct injury.

Wood Pallet Monopolization Case to Go Forward

A Western District of Arkansas district court refused to dismiss a monopolization claim a wood pallet supplier alleging anticompetitive efforts to raise its rivals costs.  Best Pallets Inc. v. Brambles Industries.

Asparteme Direct Purchases Out, Indirect Purchasers?

An Eastern District of Pennsylvania disctrict court granted summary judgement in In re Asparteme Antitrust Litigation on statute of limitation grounds against the remaining direct purchasers.  The plaintiffs had alleged a worldwide conspiracy to divide markets and increase prices.  The court must now deal with a class of indirect purchasers, whose claim had been stayed pending resolution of the direct purchaser case.

Union Might Violate Antitrust Laws by Paying Employers to Hire Union Labor

The First Circuit reinstated an antitrust claim against a union for using dues to pay employers for hiring union labor.  The court held that the labor exemption to the antitrust laws does not extend to collaboration with a non-labor group.  The payments to employers, the court held, may fit within this exception to the exemption.

FCC Encouraging Net Neutrality

The Federal Communications Commission issued a divided order requiring Comcast to stop the practice of blocking or delaying peer-to-peer communications.  Comcast contends that it does not block communications, and its delaying policies are a reasonable means to manage bandwidth.  No fine was issued.

Anemia Drug Tying Case Settled

In mid-July, Amgen agreed to settle a tying case in which a competitor alleged that the anemia drug producer’s pricing policies effectively tied the purchase of a competitive drug to two others in which it held a monopoly position.  Related litigation involving this pricing practice is on-going.

Update: In late September, the Sheet Metal Workers National Health Fund voluntarily dismissed a putative class action against Amgen based on similar tying claims.  Portions of the complaint had been thrown out in a mid-August decision.

EC’s Intel Investigation Continues

On July 17, 2008, the EC issued a Statement of Objections to semiconductor producer Intel. Echoing a statement from a year earlier, the Commission continues to express concern that Intel has abused its dominant position to exclude its primary rival, AMD.

EC Seeks to Increase Competition in Copyright Management

The EC has prohibited laws forbidding European copyright management firms from competing across national boundaries.  Authors will now be able to choose which collecting society manages their copyrights.

Kensington Antitrust Advisors Group

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