Opinion ID: 436172
Heading Depth: 4
Heading Rank: 1

Heading: The necessity of showing a relevant market

Text: 32 In order to prevail on a claim under the Northwest/Page analysis, Ladsco bore the burden of showing an injury to competition. To show such an injury, Ladsco first had to establish a particularized or relevant market in which the defendant's actions unreasonably restrained trade. In Dougherty v. Continental Oil Co., 579 F.2d 954 (5th Cir.1978), vacated by stipulation of the parties, 591 F.2d at 1206 (1979), the court stated: 33 An antitrust plaintiff thus makes out a prima facie case under the rule of reason only upon proof of a well-defined relevant market upon which the challenged anticompetitive actions would have substantial impact. 34 Id. at 962 (quoting Cornwell Quality Tools Co. v. CTS Co., 446 F.2d 825 (9th Cir.1971), cert. denied, 404 U.S. 1049, 92 S.Ct. 715, 30 L.Ed.2d 740 (1972)). See also Graphic Prods. Distribs., Inc. v. Itek Corp., 717 F.2d 1560, 1569 (11th Cir.1983) (analyzing anticompetitive effect of territorial dealer restrictions under rule of reason); Hornsby Oil Co. v. Champion Sparkplug Co., 714 F.2d 1384, 1393 & n. 8 (5th Cir.1983) (same). Evaluations of the market power of the parties involved and the anticompetitive effect of an alleged restraint, both of which are essential to the rule of reason analysis, are rendered impossible in the absence of proof regarding the economic significance (or relevance) of the market allegedly influenced by the defendant's conduct. See Dougherty v. Continental Oil Co., 579 F.2d at 962; Northwest Power Products, Inc. v. Omark Industries, Inc., 576 F.2d at 87. 14