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Unpublished Paper
Justice For The Forgotten: New Legislation To Protect Indirect Victims Of Antitrust Violations
ExpressO (2009)
  • Robert H. Lande, University of Baltimore
Abstract
The Supreme Court’s Illinois Brick decision held that only direct purchasers have standing to sue violators for damages under federal antitrust laws. Since the vast majority of products pass through multiple layers of distribution before reaching their ultimate consumers, this decision left most true victims of antitrust violations without an effective remedy. Many states subsequently enacted Illinois Brick repealers to give indirect purchasers in these states the right to sue for damages when firms violate analogous state antitrust laws. This article develops legislative options that address the spectrum of a jurisdiction’s potential needs. It also analyzes the major effects, advantages and disadvantages of each alternative. As its conclusion, the article uses a Type I, II, III error analysis to evaluate proposed legislation, and recommends the model legislation that the framework suggests is optimal. Ideally, Congress would enact the article’s proposed Model Statute. If not, legislation by additional states would be a second-best solution that would do a great deal to protect victims of illegal behavior.
Keywords
  • antitrust,
  • indirect purchasers,
  • damages
Disciplines
Publication Date
2009
Citation Information
Robert H. Lande. "Justice For The Forgotten: New Legislation To Protect Indirect Victims Of Antitrust Violations" ExpressO (2009)
Available at: http://works.bepress.com/robert_lande/2/