The Delaware Gas Station Association (DGSA) is the primary trade association of gas station owners in Delaware, including over 90% of gas station owners, both independent retailers and major oil companies. Citing environment, safety, and fairness concerns, DGSA has adopted two regulations governing its members. First, it has prohibited all price advertising and display of prices except on the gas pump, because a study found that almost all gas stations changed the prices on the pump much more frequently than advertised prices and when the two prices differed insisted upon receiving the price on the pump; price advertisements were therefore deemed deceptive. Second, it has required closing all gas stations from 12 midnight to 5:00 a.m. seven days a week. After learning of these two new rules, the Department of Justice has instituted a civil antitrust action, alleging that both regulations violate §1 of the Sherman Act, and has moved for summary judgment on liability. No facts other than these have been proven. You are a clerk for the judge, who must rule on the motion. Give a memorandum advising the judge how to rule on each of the regulations. Provide legal and economic arguments based (only) upon cases.

Answer rating: 100% (QA)

Memorandum To Judges Name From Your Name Date Date Subject Civil Antitrust Action Delaware Gas Station Association Regulations I Price Advertising Regulation The first regulation adopted by the Delawa... View the full answer