Organization for Competitive Markets
P.O. Box 6486
Lincoln, NE 68506
Date: July 29, 2004
FOR IMMEDIATE RELEASE
Contact: John Lockie, 406.628.9850
OCM Files Amicus Brief in Support of Indirect Purchaser Suits
Lincoln, NE ~ The Organization for Competitive Markets filed an amicus (friend of the court) brief in support of consumer plaintiffs suing Microsoft for price overcharges on Microsoft’s Windows 98 operating system. The brief, filed in the Ohio Supreme Court, argues that indirect purchasers should be allowed to sue for antitrust damages even if they did not buy directly from the monopolist.
“Federal courts apply what is known as the Illinois Brick rule, after a case by that name, to prevent farmers and ranchers from suing retailers when they do not sell directly to retailers,” said Michael Stumo, OCM general counsel. “OCM does not believe that it is fair to prevent anyone from seeking an antitrust remedy when they can prove they have been harmed. In this brief, we argue that Ohio’s antitrust laws should not incorporate this federal rule because the result is unjust.”
The brief shows that twenty five states have passed laws, called Illinois Brick repealers, allowing persons to sue for “indirect” antitrust harm under state law when they can prove that the monopolist caused harm. The courts of another nine states have decided that Illinois Brick does not apply to their state antitrust laws. Here, Microsoft is accused of unlawfully protecting its software monopoly by erecting and maintaining barriers to the entry of new competitors.
“If we are to protect competition in agriculture and the economy, it is critical that those who are harmed by unlawful conduct have access to the courts,” continued Stumo. “We hope that our assistance on this issue in the software market will result in a fair Ohio Supreme Court decision that will help agricultural producers in the future.”
OCM was joined by the National Consumers League and Consumer Action in filing the brief which was drafted by the law firm of Weinstein Kitchenoff Scarlato Karon & Goldman Ltd. of Cleveland, Ohio.
The Organization for Competitive Markets (OCM) is a multidisciplinary, nonprofit group of farmers, ranchers, academics, attorneys and policy makers dedicated to reclaiming the agricultural marketplace for independent farmers, ranchers and rural communities. OCM helps lead the Cattlemen’s Competitive Market Project which is a voluntary contribution program funding the effort to increase demand for U.S. cattle and beef in open and competitive markets.