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ARTICLE · 23 APRIL 2012

FTC Consent Order In Pipe Fitting Case Highlights Risks Of Trade Association Information Exchanges

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Recent consent orders in a U.S. Federal Trade Commission "signaling" case reflect the antitrust risks of competitor information exchanges, even through trade associations, especially in concentrated industries.

United StatesAntitrust/Competition Law

Recent consent orders in a U.S. Federal Trade Commission "signaling" case reflect the antitrust risks of competitor information exchanges, even through trade associations, especially in concentrated industries.

The FTC has brought an FTC administrative action alleging price fixing and other anticompetitive behavior involving three of the largest U.S. suppliers of ductile iron pipe fittings (DIPF), which are used in municipal water systems.  It now has published for public comment a proposed consent order with Star Pipe Products, Ltd., to resolve the FTC claims that Star violated Section 5 of the Federal Trade Commission Act  by engaging in price fixing.  This is the second such settlement; alleged co-conspirator Sigma Corporation already settled similar charges with the FTC.  (See our prior Antitrust Alert, " Does Recent FTC Consent Agreement Signal Heightened Antitrust Scrutiny for Information Sharing by Competitors?") The third company, McWane Inc., continues to

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