Opinion ID: 265276
Heading Depth: 1
Heading Rank: 2

Heading: The Anti-Trust Defense.

Text: 16 The anti-trust defense was first raised in an amended answer served after the commencement of the trial. Alleged, in essence, was that the plaintiffs, together with two other mica suppliers, conspired to fix the ratio of the less valuable mica splittings to block and film mica provided in the contract, and to obtain the price escalation clause. Judge Leibell rejected this defense in its entirety after trial, and we agree with his disposition of it. 17 CCC concedes that it fixed the prices to be paid under the contract, and concedes also that the contracts were not awarded on the basis of competitive bidding. In fact, as early as September 12, 1955, a letter from a GSA official to CCC recommended that 'in order to avoid exclusive control,' the contracts should be 'distributed to at least three or more of the experienced mica importing companies, and that 20% Of the value of mica delivered under the barter contracts consist of block and film mica, as well as mica splittings.' The CCC's evidence of conspiracy consists principally of statements made by some of the plaintiffs' witnesses at the trial that they had conversations with officers of the other mica companies in regard to the ratio and escalation clauses. There was virtually no evidence in the form of contemporaneous documents or memoranda showing unlawful agreement. By contrast, there was evidence that GSA counseled inclusion of the price escalation provision as early as September 1955, and that the ratio of splittings to block and film mica was vigorously negotiated and had, in effect, to culminate in a single ratio for all contractors in order to preserve price parity. In the light of these facts, the CCC fell far short of establishing its case as a matter of law. 18