Green Country Food Market, Inc. v. Bottling Group, LLC

371 F.3d 1275, 58 Fed. R. Serv. 3d 993, 2004 U.S. App. LEXIS 12297, 2004 WL 1386357
CourtCourt of Appeals for the Tenth Circuit
DecidedJune 22, 2004
Docket02-5076
StatusPublished
Cited by84 cases

This text of 371 F.3d 1275 (Green Country Food Market, Inc. v. Bottling Group, LLC) is published on Counsel Stack Legal Research, covering Court of Appeals for the Tenth Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Green Country Food Market, Inc. v. Bottling Group, LLC, 371 F.3d 1275, 58 Fed. R. Serv. 3d 993, 2004 U.S. App. LEXIS 12297, 2004 WL 1386357 (10th Cir. 2004).

Opinion

EBEL, Circuit Judge.

Plaintiffs, retail grocery stores operating in the Tulsa, Oklahoma area, brought this diversity action under the Oklahoma Antitrust Reform Act against their local distributor of Pepsi and affiliated beverage products and its holding company (“Bottling Group” and “Holdings”). Plaintiffs alleged that Bottling Group unlawfully discontinued sales to Plaintiffs in response to a price discrimination lawsuit Plaintiffs had previously brought against Bottling Group’s predecessor-in-interest. The district court granted summary judgment in favor of Bottling Group and Holdings. On appeal, Plaintiffs primarily challenge the district court’s definition of the relevant product market. We exercise jurisdiction pursuant to 28 U.S.C. § 1291 and AFFIRM.

BACKGROUND

Plaintiffs are corporations that operate grocery stores, each owned in whole or in part by either Steven Davis or Brian Ho-nel. Plaintiff Brissa, Inc. (operated by Mr. Honel) and Plaintiff Plaza Redbud Inc. (operated by Mr. Davis) had purchased Pepsi and affiliated beverage products from Beverage Products Corporation (“BPC”), the exclusive distributor of these products in the Tulsa area. By 1997, Mr. Honel and Mr. Davis had recognized that they were often unable to sell their Pepsi products at prices competitive with other *1278 area grocery stores. Mr. Honel and Mr. Davis compared their invoices from BPC and discovered that BPC had been charging them different wholesale prices for the beverage products it distributed. On January 5, 1999, Plaintiffs Brissa and Plaza Redbud sued BPC for price discrimination under Oklahoma antitrust laws.

On February 8, BPC transferred all assets, liabilities, and stock to Bottling Group Holdings, Inc. (“Holdings”), which the same day transferred the same assets, liabilities, and stock to Bottling Group, LLC (“Bottling Group”). Bottling Group is majority owned by Holdings, and Holdings is indirectly wholly owned by The Pepsi Bottling Group, Inc.

On February 11, Bottling Group discontinued sales to Plaintiffs Brissa and Plaza Redbud because of a “distinct decrease in the level of trust” between Bottling Group and each grocery store stemming from the pending price discrimination lawsuit. Bottling Group has also refused to distribute its products to other Plaintiff grocery stores that Mr. Honel and Mr. Davis have acquired. Plaintiffs therefore have no access, other than retail purchase, to the 155 Pepsi and affiliated beverage products distributed by Bottling Group.

Plaintiffs filed this lawsuit against both Bottling Group and Holdings under §§ 203 and 205 of the Oklahoma Antitrust Reform Act, Okla. Stat. tit. 79, § 201 et seq. The complaint alleged monopolization, attempt to monopolize, and conspiracy to monopolize under § 203(B) and denial of access to an essential facility under § 203(C), and requested injunctive relief and monetary damages under § 205. All allegations were predicated on Bottling Group’s refusal to deal with Plaintiffs following Plaintiffs’ initiation of the price discrimination lawsuit against BPC.

The district court denied Plaintiffs’ request for a preliminary injunction and granted summary judgment in favor of Bottling Group and Holdings. The district court held that Plaintiffs had not pled a claim under § 203(A) of the Oklahoma Antitrust Reform Act, which prohibits unilateral acts in restraint of trade, and that their claims under §§ 203(B) and 203(C) of the Act failed because Plaintiffs had not proven that the beverage products distributed by Bottling Group comprised a relevant product market.

Plaintiffs timely filed this appeal. Plaintiffs argue that the complaint stated a claim under § 203(A) and, in the alternative, that the complaint should have been treated by the district court as constructively amended, under Federal Rule of Civil Procedure 15(b), to include a § 203(A) claim. Plaintiffs also argue that the district court erred in requiring Plaintiffs to offer proof of a relevant product market and, in the alternative, in rejecting Plaintiffs’ narrow definition of the relevant product market.

DISCUSSION

We review a grant of summary judgment de novo, applying the same standard used by the district court. State of Utah v. Babbitt, 53 F.3d 1145, 1148 (10th Cir.1995). Summary judgment is appropriate if the pleadings, depositions, answers to interrogatories, and admissions on file, together with the affidavits, if any, show that there is no genuine issue as to any material fact and that the moving party is entitled to a judgment as a matter of law. Fed.R.Civ.P. 56(c). We construe the facts and inferences therefrom in the light most favorable to the non-moving party. Babbitt, 53 F.3d at 1148. 1

*1279 A. Whether Plaintiffs Properly Pled a § 203(A) Claim

1. The complaint

A complaint must contain “a short and plain statement of the claim showing that the pleader is entitled to relief.” Fed. R.Civ.P. 8(a)(2). The statement must give the defendant “fair notice of what the plaintiffs claim is and the grounds upon which it rests.” Conley v. Gibson, 355 U.S. 41, 47, 78 S.Ct. 99, 2 L.Ed.2d 80 (1957).

A plaintiff should not be prevented from pursuing a claim simply because of a failure to set forth in the complaint a theory on which the plaintiff could recover, provided that a late shift in the thrust of the case will not prejudice the other party in maintaining its defense. Evans v. McDonald’s Corp., 936 F.2d 1087, 1090-91 (10th Cir.1991). The liberalized pleading rules, however, do not permit plaintiffs to wait until the last minute to ascertain and refine the theories on which they intend to build their case. Id. at 1091. This practice, if tolerated, “would waste the parties’ resources, as well as judicial resources, on discovery aimed at ultimately unavailing legal theories and would unfairly surprise defendants, requiring the court to grant further time for discovery or continuances.” Id. (affirming district court’s determination precluding plaintiff from litigating new legal theory raised for first time in response to defendant’s motion for summary judgment).

In Dunn v. Ewell (In re Santa Fe Downs), the complaint cited one section of the Bankruptcy Act but the plaintiffs attempted to introduce evidence pertaining to a second section. 611 F.2d 815, 816 (10th Cir.1980). We held that the plaintiffs had not properly stated a claim under that second section. See id. Wé noted that “[w]e cannot say that the incorrect statutory citation was ah unimportant detail implicitly corrected by the facts alleged in the complaint.” Id.

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371 F.3d 1275, 58 Fed. R. Serv. 3d 993, 2004 U.S. App. LEXIS 12297, 2004 WL 1386357, Counsel Stack Legal Research, https://law.counselstack.com/opinion/green-country-food-market-inc-v-bottling-group-llc-ca10-2004.