Justia Antitrust & Trade Regulation Opinion Summaries

Plaintiff Vitamins Online, Inc. believed that its competitor, Defendant Heartwise, Inc. (d/b/a NatureWise), was misrepresenting the ingredients of its competitive nutritional supplements and manipulating those products’ Amazon reviews. Vitamins Online sued for violations of the Lanham Act and Utah’s common law Unfair Competition Law. The case proceeded to a bench trial, at the conclusion of which the district court ruled for Vitamins Online and ordered disgorgement of NatureWise’s profits for 2012 and 2013. The court also awarded Vitamins Online attorney fees and costs for NatureWise’s willful misrepresentation and for various discovery abuses. Both parties appealed. NatureWise contended the district court erred in finding that it made false or misleading representations about its own nutritional supplements’ ingredients and its Amazon reviews. NatureWise further asserted the district court erred in concluding that Vitamins Online was entitled to a presumption of injury for these misrepresentations. Vitamins Online contended the district court erred in bifurcating Vitamins Online’s injury into two separate time periods and requiring Vitamins Online to prove that a presumption of injury was applicable separately for each period. Vitamins Online also argued the district court erred in denying disgorgement for the second time period, and for failing to consider an award of punitive damages and an injunction as to NatureWise’s further manipulation of reviews. The Tenth Circuit concluded the district court did not clearly err in applying a presumption of injury, and affirmed the award of profits, attorney fees, and costs, and found no reversable error in the amount awarded. The Court also held the district court failed to consider properly Vitamins Online’s request for punitive damages and an injunction; the Court remanded for the district court to reconsider. View "Vitamins Online, Inc. v. HeartWise, Inc." on Justia Law

Meta Platforms, Inc. owns and operates the social media network Facebook. Forty-six states, the District of Columbia, and the Territory of Guam joined in a civil complaint charging Facebook with violating the antitrust laws (“the States.”) The States alleged that Facebook committed these violations as a result of its acquisitions of several actual or potential competitors and its restrictions on developers of applications that linked to Facebook. The States sought equitable relief. The district court dismissed their Complaint.   The DC Circuit affirmed. The court agreed with the district court that the States unduly delayed in bringing suit. The court further wrote that the district court properly considered the actual text of Facebook’s 2011 policy as quoted in the FTC’s complaint and properly disregarded the States’ allegations where those allegations were contrary to the policy’s text. In light of the complete text of Facebook’s competitor integration policy, the court rejected the States’ challenge to that policy. Further, the court held that the States’ exclusive dealing theory fails as a matter of law. View "State of New York v. Meta Platforms, Inc." on Justia Law

In a matter of first impression before the Mississippi Supreme Court, the issue presented for review required an interpretation and application of the federal Anticybersquatting Consumer Protection Act (ACPA). 15 U.S.C. § 1125(d). Jonathan Carr registered five domain names that included variations of the identifying marks of the Mississippi Lottery Corporation (MLC). After an unfavorable decision from a national arbitration board, Carr brought a reverse domain name hijacking claim against the MLC, which countersued for cybersquatting. The Mississippi Supreme Court dismissed Carr’s first appeal in this case for lack of a final appealable judgment. Carr appealed the trial judge’s Order Granting and Denying Motions for Injunctive Relief, Order on Motion for New Trial, or In the Alternative, Motion for a Trial By Jury, and Order on Motion for New Trial and/or In the Alternative, to Alter or Amend the Judgment. After a careful review of federal and state law, the Supreme Court affirmed the decisions of the trial court on all issues. View "Carr v. Mississippi Lottery Corporation" on Justia Law

John Fanning founded Jerk LLC (Jerk) and Jerk.com in 2009. From 2009 to 2014, Jerk operated Jerk.com. In 2014, the Federal Trade Commission (Commission) filed an administrative complaint charging Jerk and Fanning with engaging in deceptive acts or practices in or affecting commerce in violation of the Federal Trade Commission Act. The Commission entered a summary decision finding Fanning personally liable for misrepresentations contained on Jerk.com. Fanning petitioned for review. The First Circuit (1) affirmed the Commission’s finding of liability and the recordkeeping provisions and order acknowledgement requirement of the Commission’s remedial order; but (2) vacated Fanning’s compliance monitoring provisions, holding that these provisions were overbroad and not reasonably related to Fanning’s violation. View "Fanning v. Fed. Trade Comm'n" on Justia Law

The Internet Corporation for Assigned Names and Numbers (ICANN) creates and assigns top level domains (TLDs), such as “.com” and “.net.” Plaintiff, a registry specializing in “expressive” TLDs, filed suit alleging that the 2012 Application Round for the creation of new TLDs violated federal and California law. The district court dismissed the complaint. The court rejected plaintiff's claims for conspiracy in restraint of trade or commerce under section 1 of the Sherman Act, 15 U.S.C. 1, because plaintiff failed to allege an anticompetitive agreement; the court rejected plaintiff's claim under Section 2 of the Sherman Act, because ICANN’s authority was lawfully obtained through a contract with the DOC and did not unlawfully acquire or maintain its monopoly; the trademark and unfair competition claims were not ripe for adjudication because plaintiff has not alleged that ICANN has delegated or intends to delegate any of the TLDs that plaintiff uses; and the complaint failed to allege a claim for tortious interference or unfair business practice. Accordingly, the court affirmed the judgment. View "name.space, Inc. V. ICANN" on Justia Law

The Internet Corporation for Assigned Names and Numbers (ICANN) creates and assigns top level domains (TLDs), such as “.com” and “.net.” Plaintiff, a registry specializing in “expressive” TLDs, filed suit alleging that the 2012 Application Round for the creation of new TLDs violated federal and California law. The district court dismissed the complaint. The court rejected plaintiff's claims for conspiracy in restraint of trade or commerce under section 1 of the Sherman Act, 15 U.S.C. 1, because plaintiff failed to allege an anticompetitive agreement; the court rejected plaintiff's claim under Section 2 of the Sherman Act, because ICANN’s authority was lawfully obtained through a contract with the DOC and did not unlawfully acquire or maintain its monopoly; the trademark and unfair competition claims were not ripe for adjudication because plaintiff has not alleged that ICANN has delegated or intends to delegate any of the TLDs that plaintiff uses; and the complaint failed to allege a claim for tortious interference or unfair business practice. Accordingly, the court affirmed the judgment. View "name.space, Inc. V. ICANN" on Justia Law

The district court found Apple in violation of Section 1 of the Sherman Antitrust Act, 15 U.S.C. 1, because Apple facilitated and executed a conspiracy where five of the six largest e-book publishers in the country entered into a horizontal conspiracy to eliminate retail price competition in order to raise e-book prices. The district court issued an external compliance monitor through a permanent injunction. At issue on appeal is the district court’s denial of the motion to disqualify the appointed monitor, and modifications of the injunction. The court concluded that the district court did not abuse its discretion in declining to disqualify the monitor based on the record before the district court. The court also concluded that, in light of the court's intervening interpretation of the injunction, the terms of the injunction are not currently affected by modifications (if any) made by the district court. Accordingly, the court affirmed the decisions of the district court without prejudice. The court ordered the letter at issue disclosing the fee schedule unsealed and directed the Clerk of the Court to make that letter publicly available on the docket. View "United States v. Apple Inc." on Justia Law