The Ninth Circuit affirmed the dismissal of the California Tourism Board from a suit alleging anticompetitive agreements by rental car companies to set ancillary fees. Plaintiffs alleged that after a new law placed an assessment on rental car companies to help fund the tourism board, the state board conspired with the rental car companies to design ancillary fees to enable the companies to recover the assessment from their customers. The Ninth Circuit held that the state action doctrine exempted the tourism board from antitrust scrutiny for the conduct alleged.