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How can American manufacturers bring claims against foreign cartels that fix prices of component parts? The answer became more clear last week. In a widely awaited opinion, Motorola Mobility LLC v. AU Optronics Corp, the United States  Seventh Circuit Court of Appeals addressed which purchasers may pursue treble (triple) damage through private civil actions, under the Sherman Act, based on foreign price fixing. Governments from around the world, including the United States, filed amicus…
Automotive industry participants may face increased costs and risk from wholly foreign anticompetitive activities far upstream in their global supply chain. Antitrust laws, like the Sherman Act, protect American markets from anticompetitive practices. But, under the Foreign Trade Antitrust Improvements Act (“FTAIA”), American antitrust laws only reach foreign conduct in specific circumstances. For example, an anticompetitive act committed abroad must, among other things, “directly” affect U.S. domestic, import, or certain export activities and the effect…
Antitrust laws, like the Sherman Act, protect American markets from anticompetitive practices. But, under the Foreign Trade Antitrust Improvements Act (FTAIA), American antitrust laws only reach foreign conduct in specific circumstances. For example, an anticompetitive act committed abroad must, among other things, “directly” affect U.S. domestic, import, or certain export activities and the effect must give rise to a Sherman Act claim before U.S. courts may address it. An in-depth look at the cases…