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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