Apanewicz v. General Motors Corp.

80 F.R.D. 672, 27 Fed. R. Serv. 2d 541, 1978 U.S. Dist. LEXIS 15051
CourtDistrict Court, E.D. Pennsylvania
DecidedOctober 10, 1978
DocketCiv. A. No. 76-3281
StatusPublished
Cited by19 cases

This text of 80 F.R.D. 672 (Apanewicz v. General Motors Corp.) is published on Counsel Stack Legal Research, covering District Court, E.D. Pennsylvania primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Apanewicz v. General Motors Corp., 80 F.R.D. 672, 27 Fed. R. Serv. 2d 541, 1978 U.S. Dist. LEXIS 15051 (E.D. Pa. 1978).

Opinion

MEMORANDUM AND ORDER

HUYETT, District Judge.

Plaintiff Gary Apanewicz, individually and trading as Gary’s Auto and Truck Repair, commenced this action under 15 U.S.C. § 15 (1976) against defendants General Motors Corporation, Ford Motor Company, Chrysler Corporation, and American Motors Corporation for treble damages for injuries sustained as a result of defendants’ alleged violations of Sections 1 and 2 of the Sherman Act, 15 U.S.C. §§ 1 and 1px solid var(--green-border)">2 (1976), and for injunctive relief. Plaintiff has moved for maintenance of a class action.

Gary’s Auto and Truck Repair is a sole proprietorship located at 3810 Kensington Avenue, Philadelphia, Pennsylvania. Plaintiff operates his business in a leased triangular shaped garage of approximately 5,500 square feet that is equipped with two spray booths for painting cars and with three lifts for elevating cars to facilitate work underneath. The service area can accommodate approximately fifteen automobiles. At the time of his deposition, Mr. Apanewicz employed four mechanics at his shop. Plaintiff’s business activities include general automotive repairs, bodywork, and towing. Plaintiff estimates that approximately 60 percent of his work involves repairing damage sustained by automobiles in collisions. (Apanewicz Deposition at 38) (hereinafter cited as A. Depo.). Because of plaintiff’s counsel’s instructions that his client not answer questions during his deposition pertaining to the financial condition of Gary’s Auto and Truck Repair or to his own personal finances, that information is not before us.

Plaintiff’s allegations of Sherman Act violations focus on the defendants’ practices regarding the sale and distribution of “crash parts.” Plaintiff’s complaint defines crash parts as

those parts which tend to be damaged and require replacement because of automobile collisions. Crash parts include fenders, grills, bumpers, hoods, deck lids, doors, quarter panels, rear end opening panels, fender and rear end caps, tail gates, radiator supports and shrouds, and mouldings, including inner and outer panels and all components of these products as well as all parts necessary to attach the aforesaid to the bodies of automobiles and light trucks.

Complaint ¶ 10. At his deposition plaintiff listed other items in the category of crash parts, including headlights, glass, and bulbs. (A. Depo. 91-93).

Plaintiff alleges that all crash parts are produced either by or for defendants and that defendants have for some time maintained a monopoly over the distribution of these parts. Complaint ¶ 12. According to plaintiff, the defendant automobile manufacturers sell crash parts exclusively to their dealers who, in turn, wholesale them to repair shops such as plaintiff’s. Because of this distribution system, plaintiff alleges, independent body shops must frequently pay more for such parts than do the defendants’ dealers, with whom plaintiff alleges the independent shops compete. Complaint ¶¶ 14, 15.

Plaintiff contends that defendants’ acts in violation of the antitrust laws consisted of:

a. Refusing to sell crash parts directly to plaintiff and the class;
b. Adopting a method of distribution which substantially restrains trade in the distribution, wholesaling, and installation of the crash parts;
c. Acting in concert with their franchise dealers so as to substantially restrain competition in the distribution, [675]*675wholesaling and installation of the crash parts;
d. Restraining competition in the wholesaling of the crash parts through utilization of disparate wholesaling incentives;
e. Maintaining a method of distribution which provides defendants with an unfair competitive advantage in the sale to their dealers of parts available from alternate sources;
f. Disseminating to defendants’ franchise dealers’ [sic] lists which suggest the prices at which the relevant parts should be sold to installers and to members of the consuming public;
g. Monopolizing or attempting to monopolize trade and commerce in the distribution, wholesaling, and installation of crash parts market; and
h. Fixing, raising, maintaining and stabilizing the prices for crash parts.

Complaint ¶ 17.

Plaintiff has moved, pursuant to Federal Rule of Civil Procedure (Fed.R.Civ.P.) 23, for an order that this suit is maintainable as a class action.1 He describes the class he seeks to represent as consisting of

all independent body shops in the United States, that is, those who engage in the repair of automobile and truck bodies and parts thereof who purchase crash parts . , but who are not authorized dealers of defendants and who have sustained damages as a result of the conspiracy and arrangements alleged [in the complaint].

Complaint ¶ 4. It is further stated that the class competes with defendants’ dealers in installing crash parts. Complaint ¶ 14. Plaintiff estimates that there are approximately 30,000 class members.

RULE 23 REQUIREMENTS

In order for a case to be maintained as a class action, it is necessary that the requirements of Fed.R.Civ.P. 23(a) be satisfied. Wetzel v. Liberty Mutual Insurance Co., 508 F.2d 239, 246 (3d Cir.), cert. denied, 421 U.S. 1011, 95 S.Ct. 2415, 44 L.Ed.2d 679 (1975). The burden is on the party who desires to utilize the class action mechanism to show that he has met those requirements. 3B Moore’s Federal Practice ¶ 23.02-2, at 23-96 (2d ed. 1978). Implicit in the language of Rule 23 (“One or more members of a class may sue or be sued as representative parties . . .”) are the underlying requirements that, for an action to be maintained on a class basis, there must, in fact, be a class capable of definition with some degree of concreteness, Rappaport v. Katz, 62 F.R.D. 512 (S.D.N.Y.1974); Developments in the Law — Class Actions, 89 Harv.L.Rev. 1318, 1477 (1976), and that the class representative must be a member of the class that he seeks to represent. East Texas Motor Freight System, Inc. v. Rodriguez, 431 U.S. 395, 403, 97 S.Ct. 1891, 52 L.Ed.2d 453 (1977); 3B Moore’s Federal Practice ¶23.04[2], at 23-120 (2d ed. 1978). We note initially that we have serious reservations about the degree to which plaintiff has been able to define his class.

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Bluebook (online)
80 F.R.D. 672, 27 Fed. R. Serv. 2d 541, 1978 U.S. Dist. LEXIS 15051, Counsel Stack Legal Research, https://law.counselstack.com/opinion/apanewicz-v-general-motors-corp-paed-1978.