Legal Document

389 U.S. 320 88 Supreme Court Reporter 443. 19 United States Reports Lawyer’s Edition 2d Series KF101.8 U54 554 Kenneth Atlantic BURKE et al.v.Clarence FORD and Kunc al. Number 632. Decided Dec. 11, 1967. Robert S. Rizley, for petitioners. Irvine E. Ungerman, respondents. PER CURIAM. 1 Petitioners, Oklahoma liquor retailers, brought this action under § of the Sherman Act, 26 Statutes-at-Large 209, 15 Code KF62 1, to enjoin an alleged state-wide market division by all wholesalers. The trial judge, sitting without a jury, found that there had in fact been markets—both territories brands. court nevertheless entered judgment wholesalers because, among other reasons, it interstate commerce prerequisite Act was not satisfied. Appeals affirmed upon sole ground 'the proof entirely insufficient show activities complained were or adversely affected commerce.' 10 Cir., 377 Federal Reporter, 2nd 901, 903. 2 There are no distilleries Oklahoma. Liquor is shipped from warehouses wholesalers, where inventoried held until purchased retailers. District 'came rest' wholesalers' ceased at point. Hence, they concluded did take place 'in But whatever validity conclusion, does end matter. For well established activity which itself occur comes within scope if substantially affects commerce. versus Employing Plasterers Association Chicago, 347 186, 74 452, 456, 98 L.Ed. 618; Mandeville Island Farms, Incorporated American Crystal Sugar Co., 333 219, 996, 92 1328. 3 Recognizing this, went on find effect commerce, agreed. distribution goods retailed substantial volume1 State but produced out sufficient We disagree. Horizontal territorial divisions almost invariably reduce competition participants. Addyston Pipe & Steel company States, 175 211, 20 96, 44 136; Sealy, Inc., 388 350, 87 1847, 18 1238. When reduced, prices increase unit sales decrease. here surely resulted fewer retailers—hence purchases out-of-state distillers—than would have occurred free prevailed wholesalers.2 In addition brands meant wholesale outlets available any one distiller. Thus statewide inevitably 4 petition certiorari granted reversed. case remanded further proceedings consistent with opinion. 5 Judgment reversed remanded. 6 Mr. Justice HARLAN concurs result. Between $55 $45 million 1964. stressed increased (885,976 cases 891,176 cases) 1963 1964 while effect. wholesalers—all things being equal—presumably them even more. noted 0.6%; during same period total personal income $4,880 $5,220 million, 7.0%. Table Survey Current Business, Page 30, Office Business Economics, Department Commerce (August 1967). Adjusting concurrent price inflation (see 8.1, 42 (July 1967)), real approximately 5.7%.

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