Document: 353 U.S. 586 77 S.Ct. 872 1 L.Ed.2d 1057 UNITED STATES of America, Appellant,v.E. I. DU PONT DE NEMOURS AND COMPANY et al. No. 3. Argued Nov. 14, 15, 1956. Decided June 3, 1957. Mr. [Syllabus from pages 586-587 intentionally omitted] John F. Davis, Washington, D.C., for the appellant. Hugh B. Cox, appellee E. du Pont de Nemours and Co. Robert L. Stern, Chicago, Ill., General Motors Corporation. Justice BRENNAN delivered opinion Court. This is a direct appeal under § 2 Expediting Act1 judgment District Court Northern Illinois,2 dismissing Government's action brought in 1949 15 Clayton Act.3 The complaint alleged violation 7 Act4 resulting purchase by Company 1917—1919 23% stock interest dismissal as to Pont, corporate holders large amounts stock, Christiana Securities Corporation Delaware Realty & Investment Company.5 primary issue whether Pont's commanding position Motors' supplier automotive finishes fabrics was achieved on competitive merit alone, or because its acquisition consequent close intercompany relationship, led insulation most market free competition, with resultant likelihood, at time suit, creation monopoly line commerce. 3 first paragraph 7, pertinent here, provides: 4 'That no corporation engaged commerce shall acquire, directly indirectly, whole any part other share capital another also commerce, where effect such may be substantially lessen competition between whose so acquired making acquisition, restrain section community, tend create commerce.'6 5 Section designed arrest incipiency not only substantial lessening one competing corporation, but their restraints monopolies relevant which, reasonable probability, appear suit likely result all corporation. violated actual monopolies, have occurred are intended. Acquisitions solely investment excepted, if, long as, used voting otherwise bring about, attempting competition. 6 We met threshold argument that before amendment 1950, applied an customer corporation—in words, statute horizontal vertical acquisitions. case presenting question this International Shoe v. Federal Trade Comm., 280 291, 50 89, 74 L.Ed. 431, Thatcher Mfg. 272 554, 47 175, 71 405, involved acquisitions competitors. During 35 years brought, Government did invoke against Commission has said apply See F.T.C., Report Corporate Mergers Acquisitions, 168 (1955), H.R.Doc.No. 169, 84th Cong., 1st Sess. Also, House Committee considering 1950 revision stated '* * it been thought some legislation (the 1914 Act) applies so-called mergers. *' H.R.Rep. 1191, 81st 11. adds, however, purposed make clear bill types mergers acquisitions, conglomerate well *.' (Emphasis added.) 8 duty reconcile administrative interpretations broad antitrust policies laid down Congress. Cf. Automatic Canteen America 346 61, 74, 73 1017, 1024, 97 1454. failure act binding interpretation Congress intend come within purview Act. Accord, Baltimore Ohio R. Jackson, 325, 331, 842. 9 written disjunctive, plainly framed reach them, competitor not, either (1) (2) amended does allege community alleges particular lines 10 contains second dealing holding company's two more corporations.7 Much legislative history deals company evil.8 aid our concern here section. There is, which support construction. 11 Senator Chilton, Senate Managers bill, explained conferees insisted prohibit just 'substantially' would accomplish aim statute, 'a might acquire there tendency trade commerce.' 'Therefore,' 'there added following: 'Or commerce."9 construction section, embracing three separate distinct effects recognized number federal courts.10 12 hold whenever likelihood appears will restraint Thus, although competitors, Judge Maris correctly Transamerica Corp. Board Governors, Cir., 206 F.2d 163, 169: 13 'A involves power exclude when monopolist desires do so. Obviously, necessary find defendant) actually merely attack measurably closer end. For purpose Act nip bud. Since definition eliminate clearly determination existence monopolize. Accordingly order determine business area areas existing effective exercised must determined 14 Appellees argue exists basis finding probable meaning total constituted negligible percentage these materials uses, including uses. It brief 1947 finish sales 3.5% industrial users, comprised 1.6% type fabric automobile industry. Determination predicate threatened 'within competition.'11 Substantiality can terms affected. record shows sufficient peculiar characteristics uses constitute them products sufficiently fabrics12 'line commerce' Van Camp Sons American Can Co., 278 245, 49 112, 311.13 bounds purposes coextensive fabrics, industry, fabrics.14 16 affected substantial. Standard Fashion Magrane-Houston 258 346, 357, 42 360, 362, 66 653. Moreover, establish prove 'foreclosed (that market).'15 Both requirements satisfied case. substantiality comprising industry undisputed. fully established evidence. 17 colossus giant accounts annually upwards fifths vehicles nation.16 In 1955 ranked assets among United States corporations17 became earn over billion dollars annual net income.18 purchases were $26,628,274, $18,938,229 (71%) represented Finishes Division. Of latter amount 'Duco'19 thinner 'Duco' totaled $12,224,798 (65%), 'Dulix'20 $3,179,225. Purchases 1948 amounted $3,700,000, largest account Fabrics Expressed percentages, supplied 67% 1946 68% 1947.21 52.3% 1946, 38.5% 1947.22 Because almost one-half industry's sales, represent approximately materials. quantitatively percentagewise supplies requirements, we conclude market. 18 appellees could maintain applicable subsequent use stock. misconceives objective toward directed. intended supplement Sherman Act.23 Its primarily apprehended consequences inter relationships those work evil, after depending upon circumstances declared follows: 19 Broadly stated, treatment unlawful seeks certain practices rule, singly themselves, covered July 2, 1890 Act), anti-trust acts, thus, illegal, trusts, conspiracies, consummation. S.Rep. 698, 63d 2d 1. 20 'Incipiency' context denotes acquired, threatens ripen into prohibited effect. 166. To congressional aim, proceed probability contain threat lead commerce.24 Even investment, plain language contemplates competition.25 21 Prior cases near acquisition. See, e.g., 431; V. Vivaudou, Inc., 54 273; Comm. 615, reversed ground, 405; Republic Steel Corp., F.Supp. 117; re Vanadium-Alloys F.T.C. 194. None holds, even suggests, foreclosed bringing evident. 22 Related Court's conclusion 30 nonrestraint negated 'any restraint' suit.26 While course, true proof mere possibility statutory requirement 'may be' tendency,27 basic facts found demonstrate error conclusion.28 23 Company's until shortly sizable block 1917.29 At production relatively insignificant. then produced about 11% while substantial, far short proportions they assumed forged ahead present place 24 least Company, century manufacturer military commercial explosives, had decided expand fields. foresaw loss explosives Army Navy 1908 construct operate own plants. Nitrocellulose, nitrated cotton, principal raw material manufacture smokeless powder. A search outlets uncovered lacquers, celluloid, artificial leather silk. step taken 1910 Fabrikoid leather, reconstituted 1913. 25 expansion program barely started, World War I intervened. suddenly itself engulfed orders foreign nations later allies war, increase capacity plant facilities 700,000 37,000,000 pounds per month cost exceeding $200,000,000. Profits accumulated ultimately $232,000,000. need postwar expanded organization now being greater than ever, continued during war years, setting aside $90,000,000 purpose. September 1915, bought Arlington Works, Nation's celluloid companies. 1916, Fairfield Rubber producers rubber-coated carriage tops, Fabrikoid. March 1917, made Harrison Brothers manufacturers paint, varnish, acids inorganic chemicals paint manufacture. Shortly afterwards, absorbed Beckton Chemical color manufacturer, and, Bridgeport Wood Finishing varnish manufacturer. 26 seeking markets nitrocellulose, goods, paints varnishes demand connection, trial court expressly reports documents show what representatives aware consumer kind offered Pont,' J. Raskob, treasurer promoter theinvestment, 'for one, get *.'30 27 buying stimulated Raskob Pierre S. president, who personal holdings 1914. organized six earlier William C. Durant previously independent manufacturing companies—Buick, Cadillac, Oakland Oldmobile. Chevrolet, him he temporarily out power, 1910—1915, bankers' group controlled Motors. bankers deadlocked choice Directors, resolved deadlock agreement named Chairman Board, nominees neutral directors. By settled his differences resumed presidency controlling He prevailed continue affairs, both members Finance Committee, working closely matters finances operations plans future expansion. persistently urged men 'Wilmington people, called it,'31 buy 28 Finally, broached proposal fund earmarked $50,000,000 still hand. success opportunity great profit On December 19, submitted Treasurer's recommending $25,000,000. That report makes profitable contemplated. major consideration expanding provide needed burgeoning organization. Raskob's summary reasons includes statement: 'Our undoubtedly secure us entire Fabrikoid, Pyralin (celluloid), companies, factor.' added.)32 29 thought, obtaining new market, echoed 1917 1918 stockholders. appears: 'Though activity, promise seems suited character motor companies very consumers varnishes.' says: 'The consumption paints, fabrikoid automobiles gives common interest.' background particularly implications contemporaneous documents, destroys 'solely investment.' immediately influence growing bear achieve primacy finishes. 31 Two pass outstanding aggregate outlay $49,000,000. period, worked arrangement giving responsibility operations. But A. Haskell, former manager vice-president, vice-president charge committee. judge Haskell willing undertake keeping informed affairs Durant's regime *.'33 32 frankly openly set gaining maximum Pont. document, reveals intention 'pave way perhaps general adoption material,' thinking 'how best cooperation (from several Divisions) whereby makers low priced cars seem possible wise transferred put frame mind (du leather).' 33 up communication know times competitors used. pure imagination suppose surveillance source impressive impact purchasing officials. understandably difficult interpret preference given products. actively pushed substitute leathers genuine sponsored sheeting through liaison himself 34 Thus sprung barrier, quickly swept never afterwards serious contention. Indeed, supplier, Flint Varnish early saw handwriting wall. president came asking out, telling Durant, found, 'knew interested industry; (he) felt lose valuable customer, Motors.'34 Works dissolved it. less four August 1921, Lammot Motors, response query 'whether taking able reply eight operating divisions varnishes, five rubber cloth, seven celluloid. quoted department feeling 'the condition improving eventually satisfactory conditions every branch, wouldn't seeing things going little faster.' responded 'with change management Olds (Cadillac 50%; fabrikoid), believe you should sell needed.' suggested drive Fisher Body business. Is reason why dealt us?' 36 stubbornly resistant pressure. 1920, time, 60% control Company. However, trust brothers powers management. They running withstood efforts high-ranking executives switch accustomed sources supply. obtained 100% 1926, retained out. 1948, resistance collapsed, compared favorably Divisions. 37 officials too much When expressed surprise, gave breakdown, dollar amounts, breakdown showed, proportion 38 Competitors obtain higher percentages high enough affect sales. probably turned outside supply outstripped production, grew took leader example, undisputed exhibit 93% Duco 1941 83% 1947. 39 fact sticks voluminous bulk always connected interest. inference overwhelming promoted gained merit. 40 agree considerations price, quality service overlooked Pride financial stake naturally try best. wisdom cannot obscure fact, revealed record, purposely employed pry open entrench fabrics.35 41 Similarly, concerned executive posts acted honorably fairly, each honest conviction actions interests without design overreach anyone, defeat right relief. requisite policy fostering obviously furthered advantage customer's condemned statute. repeat, test whether, restraints. inescapable proved fire kindled continues smolder. burned briskly forge ties bind if quieted down, remains hot, past performance, blaze fusion complete.36 43 therefore cause remanded determination, further hearing, equitable relief appropriate public offensive Courts, framing decrees, clothed discretion model judgments fit exigencies case.' Salt States, 332 392, 400—401, 68 12, 17, 92 20. 44 motion denied. parties pending granted. 45 ordered. 46 Judgment directions. CLARK, HARLAN WHITTAKER decision 48 BURTON, whom FRANKFURTER joins, dissenting. 1949, civil Illinois enjoin violations §§ Act, Act.* complaint, insofar issues engaged, since combination conspiracy monopolize interstate trade, restraining tending monopoly. that, means relationship obtain, illegal sale products, development chemical discoveries denied charges. nearly months. heard 52 witnesses, actors, received 2,000 exhibits. evidence contained 8,283-page transcript covers minute intimate detail bearing coercion, agreement, influence, interfered unlawfully policies. evidence, failed specifically, (a) (b) 'no limitation freedom deal freely Pont' 'freedom discoveries,' (c) resulted, 'basis Act.' 126 235, 335. 51 contention respect closing brief, few minutes oral argument, assertion 'has channel Pont.' Court, ignoring focal point litigation, holds violates 'at (in 1949) (was) restraints.' 607, 883. reaching conclusion, acquisitions; determining chosen rather itself; (3) when, foreclosure acquiring 53 applying principles case, purports accept carefully documented findings Actually, overturns numerous well-supported concluding investment; resulted practical Motors; 'control' preferences supplying fabrics; was, reaching. Although enacted 1914—over ago—this sought integration.1 Likewise, ever argued many before.2 accepting contentions, disregards practice, precedents except decision. sweeping pronouncement evident requires showing misuse interest—either subsequently—to gain preferential All required, guide, year persuaded 'reasonable probability' narrowly construed enactment becomes apparent sleeping along. Every 1914, dealings exposed, retroactively, bite newly discovered teeth 7. 55 below, erred s acquisition; concluding, disregard court, fall theory illegality. 56 full Appendix, 655, 656, 909, intercorporate mergers.3 physical assets.4 important exceptions. provision provides— 57 Stat. 731—732, U.S.C. (1946 ed.) 18, U.S.C.A. 18. 58 effects: corporations; community; concedes other. clause involving corporations (generally referred acquisitions), concededly questions effects, namely, so, effects. 59 authoritatively interpreted prohibiting same ambiguous, history, judicial 60 Judiciary, presented Representative Clayton, emphatically provisions relating corporations, originally appeared evils H.R. Rep. 627, 17. 'holding company' defined companies,' 'evil' 'is stocks thus acquired.' supplied.) Ibid. minority statements appended similar understanding limited corporations. Id., Pt. p. 6; 8. substance adopted Judiciary bill. 13, 43, 46. 61 extensive debates detailed discussions These devoid suggestion acquisitions.5 contrary, repeatedly described companies.6 specific reference debate ended flat statement Reed (containing clause) prevent steel ore producing classic integration.7 reading leaves impression buyers sellers non-competitive exclusively forbidding interlocking directorates (§ 19), prohibitions price discriminations 13), exclusive selling leasing contracts 14).8 62 Forty practice additional view. Neither Department nor Commission, enforcing agencies, old (other instant case) allegedly prior corporations.9 recent qualification: 63 'While mergers, monopoly.' (May 1955), 168, 64 Beginning 1927, included recommendations request remedy inadequacies. 1950. 1125, As recognizes opinion, 590, 875, amending words amendments, 'to H.R.Rep.No. acquiesced Congress, persuasive proper scope Bunte Bros., 312 349, 351—352, 580, 581, 582, 85 881. 65 cited exception Ozdoba (Ronald Co.) Verney Brunswick Mills, D.C.S.D.N.Y.1946, 152 136,10 Aluminum 1922, 284 401, sheet aluminum intermediary 1916. divestiture upheld, lessened tended New England Fish Exchange, D.C.Mass.1919, 732, virtually wholesale fish dealers trading handled 95% ground sold held Each corporations—not Statements opinions, essential decisions, stand proposition clauses entirely synonymous clause. Assuming mentioned other,11 assumption require Corporations activity different necessarily 'compete' though violative Such Trans-america 1953, banking series transactions local located communities bank acquired. banks western 67 twice 1930, fifth shoe violate pre-existing insubstantial, precarious condition. Substantial 298, 303, 91, 93. An affirmed portion lower court's decree allowed Thatcher, milk bottle retain Woodbury, specializing condiment whiskey bottles, Woodbury. page 560, 178, affirming reversing 1925, 615. apparently overruled sub silentio today's perspective viewed. Seen whole, offer convincing properly construed, hold. opposite view accepted, foregoing views agencies courts reached. II. 69 challenging, 1917—1919. advancing me ignore structure precedents. 70 provides Yet construes read Continued holding, sure, prerequisite because, longer held, purged nothing divest.12 allow dispense necessity proving offense use, made, offense, any, complete. unequivocal. date arbitrarily suit. distinction paragraphs reinforces conclusion. speaks 'another corporation.' paragraph, prohibits 'two corporations.' Concededly, here. chose terms. omission phrase 'or granting proxies otherwise,' inadvertent. 7.13 72 replace remedying monopolies. checking anticompetitive tendencies incipiency, reached comes play. bill: 'Broadly 1890, consummation.' S.Rep.No. places emphasis occurrences viewed occurrence. required predicting outcome transaction, If, potential apparent, hand, unless constitutes Act.14 75 ignores all-important lawfulness unlawfulness occurred, limits attention later. subject good-faith lawful hazard unforeseen developments. supported elementary fairness. Suits limitations, doubtful doctrine laches Government. unexpected unforeseeable developments occurring challenge legality action, exist transaction growth fortuitous decline achievement accidental diffusion result, test, rendering driginally ab initio. Strikingly enough, factors case.15 76 unfair individuals entered assumption, justified judged available prohibition (of 7) addressed contemplate engaging merger meant, instance, guide deciding course action. standard capable proposed transaction. enforcement statute.' Neal, Case, Stan.L.Rev. 179, 220—221. 78 cites authority 40-year-old examination dozen inquiry heretofore centered made.16 163; 1931, D.C.N.D.Ohio 1935, 194 (1934). turns created use. 79 mean unable fails chooses later, requires—that made. 80 Nor events irrelevant. Evidence traceable original factors, 'reasonably probable' element causation link past. indicate happened extent bears central 81 conclusions Unlike 163. involved, foreclose significantly restricting access limiting product. Attorney General's National Study Antitrust Laws (1955) 122—127. economic study affected, relation markets, immediate volume suffice. says, substantial,' 595, 878 'Substantiality affected,' 593, 877. case-by-case analysis factors. 82 brings proceeding purchase, (i.e., market), harmful brought. Illegality 7; continuing illegality W. T. Grant 345 629, 894, 1303; Oregon State Medical Society, 343 326, 333, 690, 695, 96 978; South Buffalo 333 771, 774, 868, 870, 1077. prophylactic measure deleterious Proof harmed period following indicates unlikely. largely supplants conjecture relied upon. 83 challenged 'over thirty ago,' 'In intervening concluded If supports below affirmed. III. 84 remaining factual: establishes securing foreclosure, probable, opportunities others discussing factual issues, meet assume controlling. Foreclosure Competitors. 86 merged supplier's automatically completely trade.17 connection forecloses justification. Whether turning record. 87 outset states 'was alone,' 358 588, 589, 875. resolving issue, 'basic facts' dispute hence unnecessary erroneous. Fed.Rules Civ.Proc., 52(a). standing 1919, 'commanding position' purchases, items gigantic hoped trade. From draws misused fabrics.' 606, 884. overwhelming,' concludes, 'that merit.' 605, With unequivocal maintained 30-year preceding based merits supporting summarized 88 Du Thousands automobiles, appliances machinery. Despite buys commodities competitors.18 declines small quantities, concentrates years—paints fabrics. Before examining large-volume understand decisions 89 divisions, final make, decisions. decentralized system officers respective divisions. speak 'selling therefore, misleading. prospective instead sells Frigidaire, Ternstedt, Delco Light, plants division, frequently agent presents job. 90 discloses division independently, pattern varies greatly another, fluctuated quality, considerations. Oldsmobile antifreeze car Duco. Buick alone enamel, Cadillac copper electroplating exclusively. nefarious arising affects anti freeze buyer, buyer; Pontiac, buyers; buyer buyer. 91 Paints.—Du marked lacquers related products.19 1939, 9.5% value 1947, 8.1%. three-fourths consisted finishes.20 30% Pont.21 company. 3% products; infinitesimal purchases. Motors: 'Duco,' nitrocellulose lacquer invented patented 'Dulux,' synthetic resin enamel developed Pont.22 Dulux 1924 respectively, attained earlier. 93 leading field 1918, majority Color Flint, Michigan. before, Flint. lost 1923, Buick, Oldsmobile. 288. 94 invention 1920's significant technological advance. Automobiles finished coats varnish. finishing process days, storage space tied completed immense. life expectancy year. Paint Enamel contacted attempt quicker drying durable finish. 95 Meanwhile, doing pioneering lacquers. employee quick film-forming solids. finish, Duco, 1922 tested along manufacturers. After testing improvement, superior product method available. gradual conjunction superiority auto illustrates demonstrates merits. (now Pontiac) 1924. immense Chevrolet optional abandon 1926.23 beginning, look Letters sent urging submit samples pyroxylin Unitl none comparable strenuous develop position. switched competitor, Rinshed-Mason, since. Pontiac partly better nearby plants, repeated disclose 98 confined abandoned end cars, Ford using Nash, Hudson, Studebaker, Packard Willys bought, buy, Chrysler 1930's pursuance suppliers concentrated company, Pittsburgh Plate Glass. requirements. 1920's, losing leadership low-priced Black Japan. reported said, 'Paint color, black.' 1930's, forced shift transition half Pont; 1937, one-fourth 1938, Henry 'issued instructions Motor company.' II active management, practically ceased. then, purchased amounts. 99 thousands annually. fits needs. Kettering, research activities testified 'one reasons' resale 'in lot' paint.' 100 quantities believes fif needs.' 296. 101 item Dulux, refrigerators appliances. widely refrigerators. began replaced porcelain, appliance division. 1930 collaboration Electric, cheaper development, appliances—General Westinghouse, Crosley, others—except porcelain. Disinterested witnesses Dulux.24 err Dulux— 102 ideal refrigerator Several prompted Pont—excellence product, fair service.' 103 note considerably success. undercoats failed, despite efforts, Body, purchaser undercoats, competitor's undercoat. successes failures various emphasize negate notion coercion responsible occur. Frigidaire black machine 1926. Spark Plug Division, Michigan, plant, consistently successful Delco-Remy insulating Electromotive Division prefers interior locomotives, exterior railroads, balance train, specify Guide Lamp inside headlight reflectors, developed, kept, division's primer Inland produces steering wheels, supplanted offering service. 104 experience Electric tension cable lacquer, illstrative. Until 1932, wholly unrelated sole lacquer. Now, film scrap 105 due service, 'du matter effort satisfied. prevented manufactured competitors; suffered competitively Duco.' 106 2. Fabrics.—The imitation 'Fabrikoid' 'Fabrilite') top convertibles 'Pontop,' 'Everbright' 'Teal').25 $3,369,000, closed metal tops predominate, larger today. averaged, convertibles, 1.6 yards, costing $2.22 car. principally seat backs, kick pads, rear shelves, etc. cotton wool unholstery composed. 107 coated 1910, Newburgh, York. 'Artificial leather,' known, poor acceptance. succeeded appearance, rapidly broadened. mid-1913, pyroxylin-coated fabric, accepted upholstery trim. Three contemporary estimate equipped year, rounded achieved, field. Oldsmobile, third Oakland. trim material. 296—297. 108 variations considerations, generally pre-1917 combined 55.5% unfortunate declined 31.5%, increased 38.5%, remainder 109 addition mass 'such exercise domination' (emphasis supplied), 301, producers—Ford, Willys-Overland produce produce. until, embarked Textileather, competitor. Ford's itself. likewise supplied, considerable smaller 110 'Du shows, concentrating satisfactorily meeting changing delivery.' 301. 111 Other Products.—The concludes eliminates deserved Pont.26 logic argument—that inevitably products—requires relations 'influence,' expected buys. 112 attempted wide range exercising judgment, served Six groups considered Court: plastics, brake fluid, casehardening materials, safety glass, chemicals. 319—324. examples drawn 113 'Pyralin'), windows side curtains initially revived improved Instead fluid glass embarked, items. quantity. processes industries exclusively, occasionally, periods. Neoprene, helped develop, adhesive linings, Morors' prefer expensive rubber. 114 115 'All miscellaneous refused accordance dictates judgment. constrained favor, instances rejected favor variety situations rejections satisfies whatsoever refuse pleased.' 324. 116 Relied Court.—The disregarding merit, relies contrary passages 1918—1926, logical fallacy 117 isolated pressure intent noncompetitive four: 1917; letters 1918—1920; 1921—1924; (4) 1926 letter Pratt. Passages 1918—1926 justify disputed significance evaluated passing motivation author. object. Read addressed, consistent trying could, restriction chose, regard themselves limited.27 context, significance, ignored, affirmatively contradiction Port receive 118 presumed bare Motors.28 place, way, elsewhere, Sales Fabrilite Teal attributable period. Secondly, presumption should—the shown normally proportion. event, explains disproportion. proportionately declined, followed selecting single customer. dominance Chrysler—companies together 85% production—when Chrysler, adequately whole. 119 become crucial rests secured Preference event. indeed slight. Especially direction diminishing participation affairs. 120 Rule 52(a) Governs Case.—The comparatively multitude underlie occurrence events, motives participated question. credibility importance. observe demeanor application principle embodied Rules Civil Procedure: 'Findings erroneous, witnesses.' 330—332, 339, 694—695, Yellow Cab 338 338, 341—342, 177, 150. 121 situation testimony contradicted documents. Gypsum 364, 525, 746. testimony. continuous equally good witnesses. exhibits occasions good. Appellate review corroborative careful labeled.29 Relevant Market. 122 assuming correctness resolve reverse market.30 123 'area competition' defendants operate. Oil California 337 293, 299—300, 5, 1051, 1055, 1371. '(T)he problem defining discovering patterns practice.' Machinery 295, curiam, 347 521, 699, 910. 'Determination depends how go commodity another.' E.I. 351 377, 393, 994, 1006, 1264. fact. 124 reaches 'automotive 594, told 'peculiar characteristics' are. Nothing contribution automobiles. bids fixed schedules. 'automobile' appliances, So diesel engines, parts, manufactures. Arbitrary adequate 125 differentiating industries. What contrary. case—Duco, fabrics—support marketed refinishing furniture, brush handles pencils. 44% colored 51.5% purchasers exact figures nonautomotive uses.31 127 expiration patent 1944, issued i50 licenses—to applied—covering process. treated initial superiority, penalized rewarded contributing 128 refrigerators, washers, dryers, metallic objects requiring having unspecified distinctive finishes.' 129 $15,400,000, national $1,248,000,000, $552,000,000 enamels, japans, thinners dopes, kinds users.32 establishing Dulux. 130 convertible tops—imitation fabrics—are innumerable luggage, railroad upholstery, books, cases, baby carriages, hassocks, bicycle saddles, sporting footwear, belts table mats. $9,454,000 amount, $3,639,000 (38.5%) $5,815,000 10% 20% 2% treating fraction 131 stress size sales— $793,000,000 $3,815,000,000 1947—do fairly reflect $19,000,000 $3,700,000 fabrics—less finishes, others. 273. Fargo Glass Globe 201 534.33 132 carburetors tires limited. 133 burden would, volume, identical scale general, particular, industries, insubstantial existed probable. 134 (1917 1919) monopoly; Accordingly, affirm 135 Appendix Burton's Dissent. 136 'Sec. 137 'No otherwise, 138 'This anything causing formation subsidiary carrying business, natural legitimate branches extensions thereof, owning 139 'Nor herein carrier laws regulate aiding feeders main branch lines, constructed property therein, extending medium property, therein 140 'Nothing impair legally acquired: Provided, authorize laws, exempt person penal thereof remedies provided.' 823, amended, 29, 29. noted jurisdiction. 350 815, 729. 235. 736, 25, 25. governed inapplicable 209, 693, 1, 731, 13; Cong.Rec. 16002. 401; 136; 732; cf. Sidney Morris Ass'n Stationers, 620, 625. 299, Oil, agreements 14. brief: viscosity trademark 'Duco'. truly advance art automobiles; possible. 'By urgent *. pioneers intolerably time—up weeks—to needed. complete, longest often peel off Director Nickowitz, 'Q. isn't speaking undercutting price? You don't you? 'A. Well, know. bid costs. furniture price. 'You see, ideas want Some dyed prices industry.' And see extended 288—292, 296—300. ('in commerce') comprehensive forbidden literally satisfied.' 253, 113. states: 'If mainly Corporation, rely on.' 314, 1062. Moody's Industrials lists industry: Percent 1938....... 42+. 38.5 1939....... 38.8 1940...... 45.6. 42.7 1941...... 45.3. 45.6 1942.... W.W.II. 1951 41.8 1943.... 1952 40.3 1944.... 1953 44.7 1945.... 1954 49.9 1946...... 36.3. 48.8 Fortune Directory 500 Largest Industrial Corporations, 1956, N.Y. Times, Feb. col. specially 295. 300—301. Corn Products Refining 324 726, 738, 961, 967, 1320. provides, part: Houston 356—357, 362. confronted 52(a), U.S.C.A., 297. 243. 241. 245. 267. epitomized employee, Pratt, member Executive Division: 'I am glad your manufacturing, feel hands possibly standpoint doubt influenced give equal conditions, concerns. think recognize sacrifice 1920 keep bad light publicly—the borrowing $35,000,000 notes debt, thrown market—they weight my over-balances conditions. divisions' take advisable desirable situation, liable grow slack sentiments view, wish above prime thing Delco-Light concerns secondary, sure feeling.' potency today shares 436,510 stockholders; 92% owned each, each. 244. 4, 136, discussed infra, 10, private treble damages. broaden application, terms, amended. One earliest rulings asset 541—542. amendments Proponents asserted 16443. secrecy ownership. 9073, 14254, 14316, 14420, 14456; 17; 13. remarks Chilton majority, 591, 876, His 9270—9271 (Representative Carlin); id., 9554 Barkley); 14254—14255 (Senator Cummins); 14313 Reed); 15856 15861 Walsh); 15940 Nelson); 16001 Chilton); 16320 Floyd). 14455. stiffen relieve he, Cummins, quite difficult. 14254—14255, 14419—14420. asked iron ore. replied bar neither written: 'But call Senator's illustration certainly seek amend. amendment. claim stop everything. direction.' No Reed's Carlin, managers House, directorate director railroads becoming effect, 'buy(ing) himself.' 9272. Ann.Rep. Fiscal Year 1929, 6—7, 60, corrective consolidations food 'even consolidation effected exchange stock,' 'most distribution allied products.' also, 13—15; Statement Counsel Kelley Hearings Subcommittee 2734, 37; Interlocking Directorates, H.R.Doc. 652, Ronald rayon converter restrained rayon. allegation Senate, Senators Cummins Walsh, strike 'tend monopoly' 14314—14316, 14319, 14459—14461. superfluous languge, danger implied repeal time) already encompassed 16002, 592, something. add Western Meat 561, 405. mention proviso, enlarges substantive content competition.' contains, i.e., subsequently misused. play applies. consummation exceed incipiency. theory, inapplicable, 'its insignificant' 'General 599, 880. Throughout, stresses 596, 878, 879, mentioned, known. 884, 36. Except Consequently, precise raised adjudicated. Nevertheless, text spell problem. Columbia 334 495, 1107, 1533, exclusion complete integration restrained. compares Total Type $18,724,000 $8,635,000 $27,359,000 68.4 (imitation fabrics) 3,639,000 5,815,000 9,454,000 Adhesives 12,000 3,056,000 3,068,000 .4 Chemicals: Anodes 1,206,000 1,208,000 .2 Solvents 439,000 3,183,000 3,622,000 12.1 $22,816,000 $21,895,000 $44,711,000 51.0 percent 1938. $4,569,604 $1,625,625 $6,195,229 $31,357,134 19.8 1939. 6,312,005 2,448,844 8,760,849 38,514,763 22.7 1940. 8,876,970 2,850,091 11,727,061 44,974,778 26.1 1941. 9,768,119 3,757,389 13,525,508 61,204,127 22.1 1946. 6,911,596 3,518,256 10,429,852 75,117,079 13.9 12,224,798 6,713,431 18,938,229 105,266,655 18.0 1942 1945 omitted tables suspension war. typical $26,628,274. $18,938,229, 71% total, 400 $8,635,000, 31.6% Twenty-five excess $30,000 year; $3,205,000. Duco.............. $12,224,798. 65% Dulux............... 3,179,225. Others.......... 3,534,206. ----------- ---- 82% funish distributed 19%; manufacturers, 33%; others, 48%. Derau, Westinghouse executive, service: 'Now, factor—and say suppliers—du finest trained technical beck call, users anybody times, problem, trouble overcome, Chicago office, next morning job, hours coming Toledo kept production. laugh simply excellent, say, better.' G M $446,375. $6,647,112 $7,093,469 6.6 803,854. 7,775,778 8,579,632 9.4 1,285,280. 7,780,105 9,065,385 14.2 1,773,079. 13,093,469 14,866,548 11.9 2,083,166. 14,170,639 16,253,805 12.8 3,639,316. 16,723,610 20,362,926 17.9 departments Finishes. $18,938,229. $105,266,655 Fabrics.... Ammonia.... 1,742,416. 50,320,207 3.5 Grasselli Chemicals. 1,024,320 74,212,311 1.4 Electrochemicals. 1,019,272. 47,687,843 2.1 Plastics..... 105,422. 34,828,026 0.3 Organic 83,254. 94,632,256 0.1 Rayon......... 45,616. 250,467,514 (*) Explosives.... 26,032. 58,875,482 Pigments....... 3,530. 31,496,024 Photo Products... 867. 25,699,756 $26,628,274 $793,849,000 3.4 Less 0.1%. quotes from, special on, discussion illustration. 35. expression Pratt's views—he last expressing opinions policy. has, intent. attitude saved disaster 1920. views, apparently, Pratt says 'always situation,' (Pratt writing Delco, division.) disposes these: Light solve help. solved abtained withhold delivery Understandingly, Elms somewhat piqued this, wrote friend assistance. result. staff superior, nevertheless pont correspondence related. Judged example 'purposely employ(ing) referring ventures soliciting throughout hint surfeited fill orders. express investment. finds inconsistent said: 'Raskob's report, Irenee essentially employment surplus uncommitted imposing choice. Motors—even latter's requirements—but similarly desired freedom. explicitly basis.' 242, purchaser. Pennsylvania Interstate Commerce 37, divided 291 651, 559, 1045. falls excepting deficient put, interchangeable competitors' on. reasons, event remand Judge, familiar be, entertain exist. declining remand, necessitates scrutiny huge passed thoroughly briefed parties. 1947.' significance. Not omit sales—those industry—but misleading 1935 concentrate supplier. Under figures, eliminating deducting selected years. (1,166,220 gallons, 2,263,000 gallons). gross $97,000,000; $21,000,000, 21.7% total. ranged, 14% 26% customers. acceptance dependent captive Commerce, Bureau Census, Census Manufactures: Statistics Industry, 414—415. 1,291 establishments 8.1% Maytag, 40% in, contracted output of, Globe, gas dealer, damage alleging, alia, showed ranges, eighteenth size, (about $5,000,000 year). Appeals Seventh Circuit plaintiff readily outlet principles. opportunities. outright, commanded consuming 4% unlikely 96% 98%, remain them.

Category: 7