The patent wars have become a real drag on the economy. A recent study estimated that the direct cost of patent trolls, firms that use patents solely as a source of securing revenue from litigation, exceeded $29 billion. The real costs in litigation: delayed innovation and loss of consumer choice are even greater. Now, the…
Reverse payments settlements between patent holders and would-be generic competitors in the pharmaceutical industry should be reviewed under a “quick look” rule of reason analysis based on the economic realities of the reverse payment settlement, the U.S. Court of Appeals in Philadelphia ruled today. The appellate court decided that wholesalers and retailers who purchased a…
More than four years after Polypore International Inc. acquired rival battery separator manufacturer Microporous Products L.P., the U.S. Court of Appeals in Atlanta has determined that the transaction was anticompetitive. The appellate court yesterday upheld a December 2010 opinion of the Federal Trade Commission, which held that the that the merger of the two producers…
Merger challenges are rare in Canada. The last contested merger case in Canada was in 2005. Typically, concerns about a prospective merger are resolved in negotiations between the Commissioner of Competition (the “Commissioner”) and the acquiring party, with some form of partial divestiture the usual remedy required. As such, it was a major development when…
Many opponents of Google’s business practices have trotted out the United States v. Microsoft decision and declared with beguiling simplicity that Google is the next Microsoft. They have suggested that the government’s case against Microsoft ten years ago provides a roadmap for a similar enforcement action against Google. To them, all you have to do…
Well, okay, I guess there might just possibly have been an appellate decision this week of even more pressing moment, but I believe something important and very positive happened in the Seventh Circuit yesterday: the en banc reversal in Minn-Chem, Inc. v. Agrium, Inc., No. 10-1712 (7th Cir. June 27, 2012) (en banc) (“Potash II”)….
This morning the Court granted certiorari in Federal Trade Commission v. Phoebe Putney Health, No. 11-1160, on appeal from an execrable pair of opinions in the Eleventh Circuit and the Middle District of Georgia. At issue is a local hospital merger that would give the acquiror 100% in its county and upwards of 90% in…
Some U.S. Supreme Court watchers may have been disappointed that the Court on the last day of the October 2011 term–according to the Court’s calendar–did not decide the fate of President Obama’s health care overhaul legislation. That decision is most likely to come within the next three days, before the Court wraps up for the…
The government’s successful prosecution of AU Optronics Corporation, its wholly-owned U.S. subsidiary, and two former company executives serves as a cautionary tale. The case marks the first time a company has gone to trial over charges resulting from a U.S. investigation into an international cartel. It highlights the dangers of participating in a price fixing…
When competitors form a truce, consumers need to worry because often they find ways to make consumers pay more by cutting off competition. Nowhere is that a more big-ticket concern than an alliance between Nokia and Microsoft, waging a potential patent war on their smart phone rivals and potentially costing consumers millions of dollars in…
