IBL LAST Presentation
-
Upload
amiramelouk -
Category
Documents
-
view
223 -
download
0
Transcript of IBL LAST Presentation
-
8/2/2019 IBL LAST Presentation
1/13
4/11/20
Supervised By : Dr. Yassin Elshazly
Prepared By:
Marwa Shoukrallah
Ahmed Samir
Tarek Rafaat
Nevine Assem
Amira Melouk
Agenda:
Facts
Legal Problem
Applied rules Conclusion
-
8/2/2019 IBL LAST Presentation
2/13
4/11/20
-
8/2/2019 IBL LAST Presentation
3/13
4/11/20
Junior answers that it is not subject to the jurisdiction of the US courts
Goliath answers that it was not a party to the cartel agreement and that the agreement does not
affect the US market for sapphires
The United States government has now brought suit against both Goliath and Junior forviolating the US Sherman Antitrust Act
The cartel agreement allocated markets and set prices for all sapphires sold outside of the UnitedStates.
Junior then entered into a cartel agreement with producers of sapphires in those countries (otherthan the US) where sapphires are found
Goliath, Inc., a United States producer of gem quality sapphires, set up a subsidiary holdingcompany in the Cayman Islands (Junior, Ltd.) to control all of Goliath's non-United States
subsidiaries.
GoliathCompany Junior Company
The United
StatesGovernment
-
8/2/2019 IBL LAST Presentation
4/13
4/11/20
Legalproblem
-
8/2/2019 IBL LAST Presentation
5/13
4/11/20
Section1 : Forbids combinations andconspiracies in restraint of interstate orinternational trade.
Two aspects of the us antitrust laws aresignificant internationally , one is theenforcement provisions which allow privatepersons to sue and to recover treble damages
for injuries they have suffered , The other isthe willingness of American courts to applythese laws extraterritorially
-
8/2/2019 IBL LAST Presentation
6/13
4/11/20
Rule of reason: Rule applied by courts on a case-by-case basis requiring them to consider all of thecircumstance in deciding whether a restrictivepractice should be prohibited as imposing anunreasonable restraint on competition in violationof Sherman Act Section 1 Long arm statute
US jurisdictional rule of reason(United Statesminimum contacts test) : A jurisdictional testrequired by due process that looks to see if aperson had such contacts with a state that it couldreasonably have anticipated that it would have todefend itself there.
-
8/2/2019 IBL LAST Presentation
7/13
4/11/20
According to
Sherman Antitrust actsection 1
and
US jurisdictional rule of
reason
The court should rule in
the favor of
The US Government
-
8/2/2019 IBL LAST Presentation
8/13
4/11/20
Buena claims that Puros activities in Central America will force Buena to raise its prices and that thiswill affect American consumers
There is only one other large banana exporting company in competition with Buena and Puro
Buena has brought suit against Puro in a U.S. federal court in Miami. It claims that Puro is attempting tomonopolize the banana trade in Central America
Puros sales are now limited to South America, but it hopes to sell throughout the US soon. so it has set upa branch in Miami, Florida, and it is testing the local market with sales.
It will give them a guaranteed 10-year contract to purchase their entire production at 10 percent aboveworld market price
Puros subsidiaries have offered the Central American producers an arrangement that is remarkablygenerous by international standards.
Puro, an Argentine corporation that markets bananas throughout South America, recently set up severalsubsidiaries in Central America in direct competition with those of Buena
Buena then sells the bananas under its trademark to wholesalers in the United States
The Buena Banana Co., a U.S corporation, has several subsidiaries in Central America that purchase
bananas from local producers
-
8/2/2019 IBL LAST Presentation
9/13
4/11/20
Buena BananaCompany
Puro CompanyThe U.S. federal
court
-
8/2/2019 IBL LAST Presentation
10/13
4/11/20
Legalproblem
-
8/2/2019 IBL LAST Presentation
11/13
4/11/20
Section2:Forbids monopolies andattempts to monopolize interstateand international trade.
United States effect test: Ajurisdictional test that subjectsforeign businesses To US antitrustlaws if their activities wereintended to affect U.S. commerceand the effect was other than
minimal.
Robinson-Patman Act : prohibits pricediscrimination: it mandates that two ormore purchasers of a commodity fromthe same seller must be charged identicalprices.
Clayton act : expands the enforcement
provisions of the Sherman Antitrust Act .Define exclusive dealing and tryingclauses , mergers that result inmonopolies and interlocking directoratesas being unfair business practice .
-
8/2/2019 IBL LAST Presentation
12/13
4/11/20
According to
Sherman Antitrust act
section 2
and
Clayton Act
the court should rule inthe favor of
Buena Banana Company
-
8/2/2019 IBL LAST Presentation
13/13
4/11/20
Thank you Thank you Thank you Thank you Thank you Thank you Thank you Thank you
Thank you Thank you Thank you Thank you Thank you Thank you Thank you Thank you
T
H
AN
K
Y
O
U
T
H
A
N
KY
O
U
T
H
AN
K
Y
O
U
T
H
A
N
KY
O
U