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Expert Analysis

No Market Power Needed In 2nd Circ. Vertical Restraint Cases

Law360, New York ( June 5, 2014, 10:20 AM EDT) -- In United States v. American Express Co. et al. , Eastern District of New York Judge Nicholas Garaufis held that, in the absence of further direction from the U. S. Supreme Court or the Second Circuit, he would not require a plaintiff to prove that a defendant has market power in order to show that a vertical restraint violates Section 1 of the Sherman Act. [1] In the circuit split that currently exists on this issue, Judge Garaufis' decision further cements Second Circuit courts' position in favor of not requiring market power in order to establish a Section 1 claim for vertical restraint cases. . . .

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