Pennsylvania Ave.: A Key Decision For Joint Bidding
March 19, 2008, 12:00 AM EDT
Law360 (March 19, 2008, 12:00 AM EDT) -- A federal district court judge in the Western District of Washington recently dismissed an antitrust class action suit alleging that two private equity funds had unlawfully conspired in their bid to acquire WatchGuard Technologies (“WatchGuard”), a publicly traded company. Pennsylvania Avenue Funds v. Borey, Number C06-1737RAJ (W.D. Wash. Feb. 21, 2008).
The opinion is particularly noteworthy as it holds that allegations of coordination among bidders in the acquisition of a public company cannot be treated as per se unlawful under the antitrust laws. Under Pennsylvania Ave.,...