Court Refuses to Dismiss Price Fixing as Government Compelled

An Eastern District of New York district judge recently rejected a motion to dismiss a multi-district Section 1 case alleging price fixing among Chinese producers of vitiman C.  The defendants argued, with support from an amicus brief filed by the Chinese government, that the cartel was compelled by government policy and thus government action beyond the scope of the antitrust laws.  The court refused to dismiss the claim, finding that the Chinese government’s role was too ambiguous.  The court could not determine whether the government had approved, compelled, or merely permitted the cartel activity.

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