Question: Is a monopolist required to deal with its competitors That
Is a monopolist required to deal with its competitors? That question was the core of a 2004 Supreme Court decision in Verizon Communications v. Law Offices of Curtis V. Trinko. 39 The Trinko law firm bought its local phone service from AT&T. Trinko brought a class action claiming Verizon maintained a monopoly by exclusionary practices. Trinko contended that local phone services had difficulty connecting with the giant regional Bell operating companies’ (Verizon, Qwest, BellSouth, and SBC) local exchange facilities, thus harming competition and consumers. The Telecommunications Act of 1996 specifically requires the regional Bell companies to provide the local phone services with fair, reasonable access. The Supreme Court, however, ruled in favor of Verizon and concluded that antitrust liability in these telephone situations would apply only where a telephone monopolist discontinues a voluntary business relationship with a competitor for the purpose of destroying that competitor. Explain why the Supreme Court decided that Verizon, a telephone monopolist, had no duty to deal with those telephone competitors with whom it had not previously dealt.
Relevant QuestionsIn the period 1917 to 1919, DuPont acquired 23 percent of the stock in the then- fledgling General Motors Corporation. By 1947, DuPont supplied 68 percent of GM’s automotive finish needs and 38 percent of its fabric needs. ...In 2011, the U.S. Justice Department sent a letter to the National Collegiate Athletic Association raising antitrust questions about the Bowl Championship Series (BCS) which is used to determine a national college football ...1. How would you rule on Rodrigues’s right to privacy claim? 2. Should employers be able to fire employees who smoke off the job? Explain. According to the American Lung Association’s Tobacco Policy Project/ State ...What impact might these laws have on Colorado and Washington employers’ drug-testing policies and practices? Explain. Colorado and Washington have legalized the possession of up to one ounce of marijuana for personal use. ...Abplanalp, a five-year employee of Com-Co Insurance, signed an employment agreement including a restrictive covenant providing that, should he leave Com-Co, he would not use Com-Co customer lists or solicit business from ...
Post your question