Other recent antitrust developments of note included several European rulings on airline mergers and a decision by the U.S. Court of Appeals for the Third Circuit refusing to condemn auto-racing association rules and exclusive contracts requiring the use of one brand of tires.
‘Pass-On’ Defense
Antitrust lawsuits based on allegations of illegally inflated prices can raise complex difficulties in determining how the overcharges were spread along the distribution chain, a problem that has spawned assorted, sometimes inconsistent rules in different jurisdictions. The California Supreme Court faced some of these issues in a dispute between pharmacies and drug makers that underscores the interplay of federal and state antitrust jurisprudence.
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