Federal and state antitrust enforcers and the private plaintiffs’ bar have revenue management software (RMS) squarely in their sights. In a string of recent antitrust cases, they have attacked software vendors and their clients, alleging that merely using RMS is evidence of unlawful coordination designed to elevate prices above competitive levels. Revenue management software typically…
Two items recently in the cartel news caught my eye because they have something in common: the chicken parts criminal price fixing prosecution failures and Donald C. Klawiter’s article calling for A Really New Leniency Program: A Positive, Cooperative, and Enthusiastic Partnership for Effective Antitrust Enforcement, Antitrust, Vol. 36, No. 3, Summer 2022. What they have…
On November 29, 2021 in U.S. v. Neeraj Jindal and John Rodgers, Civil Action No. 4:20-CR-00358A (N.D. Texas), District Court Judge Amos L. Mazzant rejected defendants’ motion to dismiss the indictment on various grounds, including challenges to the per se rule. Among other arguments, defendants argued that “wage-fixing” was not covered by the Sherman Act…
A. The Broiler Chicken Civil Litigation/Criminal Indictment On June 3, 2020, a grand jury in Colorado returned an indictment charging executives from Pilgrim’s Pride Corporation and Claxton Poultry Farms with fixing prices and rigging bids nationwide for broiler chickens [I wonder how the grand jury met? Zoom?] The case was filed in the…
US v. Lischewski, Case No. 3:18-cr-00203-EMC (N.D. Cal.) Christopher Lischewski, the former CEO of Bumble Bee who was convicted of price fixing after a trial last December, is scheduled to be sentenced on June 16, 2020. The government has requested a guidelines sentence of eight to ten years in prison and a $1 million fine. …
United States v. Kemp & Associates and Daniel Mannix, Case No., 2:16-cr-403 (DS). JudgeSamPerSeMemorandum On August 17, 2016 the defendants in this case were indicted on one count of violating §1 of the Sherman Act by agreeing to allocate customers of heir location services sold in the United States. Utah District Court Judge David Sam initially…
In a decision pondering the adequacy of the Sherman Act to protect consumers from consciously parallel conduct among oligopolists, the U.S. Court of Appeals in Chicago upheld dismissal of a class action against containerboard manufacturers for conspiring to increase prices and reduce output between 2004 and 2010. Although the complaining direct purchasers offered bountiful circumstantial…
In an earlier post I discussed the Fiscal Year 2018 Antitrust Division statistics for criminal cases filed and noted that they were down dramatically (here). This is not a one year drop off, but a trend since the high water mark of 2015 (here). It is not just case filings that are down, but also…
I have been advocating for some time that antitrust cartel whistleblower legislation be passed. Whistleblower legislation has been phenomenally successful for the SEC and other agencies and there is no reason price fixing/bid rigging cartels shouldn’t face the threat of a whistleblower. Kimberly Justice and I wrote a short article: It’s a Crime There Isn’t an…
The DOJ issued a standard press release yesterday announcing yet another individual guilty plea in its long running real estate foreclosure auction collusion investigation: Seventh Mississippi Real Estate Investor Pleads Guilty to Conspiring to Rig Bids at Public Foreclosure Auctions. According to the press release to date there have been “convictions of well over 100 other…
