Law Commons^™

Recent Antitrust Developments-1964, Milton Handler

Michigan Law Review

Ever since the passage of the Sherman Act, the courts have consistently refused to permit the requirements of antitrust to be circumvented by the easy expedient of dressing a sale in the vestments of a sham agency agreement. In Dr. Miles Medical, where the Supreme Court first held vertical price fixing unlawful, the seller and buyer denominated their agreement as an "agency," but the Court properly concluded that it was, in fact, a sale. Likewise, in Standard-Magrane, the first occasion on which the Court considered section of the Clayton Act, the seller purported to appoint his customers as …

Tying Arrangements Under The Antitrust Laws: The "Integrity Of The Product" Defense, F. Bruce Kulp Jr.

Michigan Law Review

One of the most frequently asserted defenses to an action under either the Sherman Act or the Clayton Act against a tying arrangement-a contractual limitation imposed by a manufacturer whereby the purchaser of the "tying product" agrees to purchase a related "tied product" only from the manufacturer of the tying product-has been that the tying was necessary to protect the good will or the integrity of the tying product. Whether the tied product is service for the tying product, another component in a system in which the tying product is used, repair parts for the tying product, or any other …

Federal Antitrust Law-Sherman Act-Resale Restrictions In Agreements Between Manufacturer And Distributors, S. Anthony Benton

Michigan Law Review

Defendant, a manufacturer of heavy trucks, entered into agreements with its wholesale distributors and retail dealers whereby the distributors and dealers agreed to resell defendant's trucks at prices fixed by defendant. They also agreed to restrict their sales to customers located within the territories designated by defendant and to allow defendant to deal directly with all government accounts. The Justice Department, charging violation of sections I and 3 of the Sherman Act, brought a civil suit to enjoin defendant from continuing or renewing any of the aforementioned arrangements. On plaintiff's motion for summary judgment, held, motion granted. Vertical agreements …

Regulation Of Business - Sherman Act - Expansion Of Per Se Doctrine Over Tying Agreements, Max H. Bergman S.Ed.

Michigan Law Review

Through congressional grant defendant's predecessor acquired approximately forty million acres of land, consisting of every alternate section in a twenty to forty mile wide belt on each side of its railroad track from Lake Superior to Puget Sound. Defendant sold about thirty-seven million acres of its holdings and leased the balance. Many of the sales contracts and most of the leases, together covering several million acres of land, contained "preferential routing" clauses which compelled the grantee or lessee to ship all commodities produced or manufactured on the land over defendant's lines, unless competitors' rates were lower or, in some instances, …

Regulation Of Business - Refusals To Deal - Use To Effectuate Resale Price Maintenance, Raymond J. Dittrich, Jr. S.Ed.

Michigan Law Review

This comment will examine the legal questions arising from a manufacturer's exercise of his right to maintain resale prices by refusing to deal with price cutters in an attempt to determine whether this exists only as an abstract right, or whether it can be translated into legally effective business practices.

The Antitrust Laws In Foregin Commerce, Robert A. Nitschke

Michigan Law Review

The Sherman Act applies to trade or commerce "with foreign nations." Are there differences in the act's application to foreign trade compared with its application to domestic commerce? The Attorney General's National Committee to Study the Antitrust Laws was constituted at a time when this question was pressing for an answer.

During the 1920's and 1930's, the international cartel movement was in full Hood. American companies participated in some of these international arrangements, often in the belief that they were a necessary condition for world trade and upon the legal premise that restrictions adjunctive to patent and know-how licenses were …

Antitrust Policy In Distribution, Kendall B. Debevoise

Michigan Law Review

The American genius lies quite as much in distribution as in manufacturing. Other peoples have demonstrated equal or greater creative ability in many fields. And it is debatable whether their talents are any less at mass production given adequate economic demand. But they have nowhere shown the American genius for distribution. It is axiomatic that if you manufacture in Detroit and your potential customer lives in New York, you need mutual friends. We seem to have figured out better ways to provide better friends for this purpose than any other nation.

But manufacturing came first. Someone had to build a …

Regulation Of Business--Robinson-Patman Act--Defenses Of In Pari Delicto And Changed Market Conditions, William K. Davenport

Michigan Law Review

A group of businessmen in Santa Rosa, New Mexico, organized a boycott against all bread except that baked by plaintiff, the sole baker in Santa Rosa, to induce him not to move his bakery out of town; plaintiff agreed to this plan. Defendant, who sold in interstate commerce, thereupon halved his bread prices in Santa Rosa while maintaining them in other towns, in order to defeat the boycott and preserve the town as a market. Plaintiff brought an action for treble damages under section 2(a) of the Robinson-Patman Act for injuries suffered from this price discrimination. The federal district court …

Constitutional Law - Commerce Clause - Federal Trade Commission - Jurisdiction Over Intrastate Commerce Affecting Interstate Commerce, John C. Johnston

Michigan Law Review

Appellee, an Illinois corporation engaged in manufacturing and selling candy within the state of Illinois, used in marketing its product a method of "break and take" packages involving an element of chance. The Federal Trade Commission had found that this practice constituted "unfair competition" and had ordered one hundred twenty of appellee's competitors who were engaged in interstate commerce to cease using it. The commission issued a like order against appellee on the theory that its activities, although wholly intrastate, "affected" interstate commerce. Appellee appealed from the order, contending that the Federal Trade Commission Act did not authorize the commission …

Constitutional Law-Resale Price Maintenance -Fair Trade Acts, Joseph H. Mueller

Michigan Law Review

Four cases upholding the validity of the California and Illinois Fair Trade Acts were recently sustained by the United States Supreme Court. All four cases involved a similar set of facts. Plaintiffs, the owners or authorized distributors of certain well known trade-marked articles, entered into a series of contracts with wholesalers and retailers fixing the resale prices of their branded products. When defendants, certain retailers who had refused to enter into such agreements, persisted in reselling the articles below the prices stipulated in the contracts with other retailers, plaintiffs sued to enjoin them under the provisions of the state Fair …

Note And Comment, Edwin C. Goddard, George Seletto, Edson R. Sunderland, Victor H. Lane, Burke Shartel, George E. Longstaff

Michigan Law Review

Carriers - Second Cummins Amendment - It was seven years after the Carmack Amendment of the Hepburn Act of i9o6 before the Supreme Court began that series of decisions, extending from Adams Express Co. v. Croninger, 226 U. S. 491 (1913), to George N. Pierce Co. v. Wells, Fargo & Co., 236 U. S. 278 (1915), which directly resulted in the First Cummins Amendment of March, 1915. One has only to read those cases, reviewed in 13 Micn. L. REv. 59o, and other notes referred to in 17 MICH. L. Rzv. 183, to see that the language of the Cummins …