Law360, New York ( August 5, 2014, 3:13 PM EDT) -- Two recent court decisions examined the reach of U.S. antitrust laws to protect against injuries affecting global supply chains. The Foreign Trade Antitrust Improvement Act limits the application of U.S. antitrust laws to foreign conduct unless the foreign conduct has (1) a direct, substantial, and reasonably foreseeable effect on U.S. domestic, import or certain export commerce and (2) an effect that gives rise to a Sherman Act claim. Motorola Mobility LLC v. Au Optronics Corp., 746 F.3d 842 (7th Cir. 2014), reh'g granted and opinion vacated (July 1, 2014) and Lotes Co. v. Hon Hai Precision Industry Co., 2014 U.S. App. LEXIS 10521 (2d Cir. June 4, 2014) are important for manufacturers with global supply chains because they reflect potentially contradictory treatment of whether anti-competitive conduct affecting components from a global supply chain gives rise to U.S. antitrust claims....
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