We've
previously written about Motorola Mobility v. AU
Optronics, currently pending in the Seventh Circuit. As
many of you know, the Seventh Circuit vacated its March 2014
decision that the higher prices for mobile phones Motorola sold in
the United States did not "give rise" to antitrust claims
and that Motorola could not show a "direct" effect on
U.S. commerce sufficient to satisfy the Foreign Trade Antitrust
Improvements Act ("FTAIA"). Briefing is currently
underway, and the case is scheduled for oral argument on Thursday,
November 13.
It is already established that conduct involving wholly foreign
commerce can fall within the Sherman Act's reach when the
conduct has a direct, substantial, and reasonably foreseeable
effect on American commerce and the activity "gives
rise" to an antitrust claim (i.e., has an effect
considered harmful under the antitrust laws). The case before
the Seventh Circuit concerns what types of conduct will satisfy
these standards.
