July Antitrust Bulletin - July 18, 2014

Seventh Circuit Revives Global Price-Fixing Suit

On July 1, the Seventh Circuit agreed to rehear a $3.5 billion antitrust lawsuit by Motorola Mobility LLC against several electronics manufacturers. In Motorola Mobility LLC v. AU Optronics Corp., et al., the Northern District of Illinois tossed the plaintiff's claims against several LCD manufacturers on the ground that the Foreign Trade Antitrust Improvements Act (FTAIA) barred price-fixing claims relating to purchases that non-U.S. affiliates made from non-U.S. defendants. On appeal to the Seventh Circuit, however, the U.S. Department of Justice intervened via an amicus brief arguing that the antitrust laws extend to wholly owned foreign commerce so long as there is a substantial adverse effect in the United States. Several foreign governments have voiced disapproval over any foreign expansion of the U.S. antitrust laws.