Cases in which vertical restraints are challenged under Section 1 of the Sherman Act often require proof that the defendant has “market power”—the power “to force a purchaser to do something that he would not do in a competitive market,”  which usually takes the form of a seller’s ability “to raise price and restrict output.”  Additionally, injury to an individual competitor is insufficient; there must be a showing of injury to marketplace competition.  A recent decision issued by the Tenth Circuit Court of Appeals, Suture Express, Inc. v. Owens & Minor Distrib., Inc.,  focused on both of these requirements in considering a challenge by a medical products distributor against the “bundled” discount practices of two competitors, each of which was claimed to have market power in
The US District Court of Appeals for the Tenth Circuit rejects claims challenging a medical-surgical distributor’s discount scheme (Suture Express / Cardinal Health / Owens & Micro)
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