Sandidge v. Rogers

156 F. Supp. 286, 1957 U.S. Dist. LEXIS 2773
CourtDistrict Court, S.D. Indiana
DecidedOctober 22, 1957
DocketNo. IP 56-C-253
StatusPublished
Cited by3 cases

This text of 156 F. Supp. 286 (Sandidge v. Rogers) is published on Counsel Stack Legal Research, covering District Court, S.D. Indiana primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Sandidge v. Rogers, 156 F. Supp. 286, 1957 U.S. Dist. LEXIS 2773 (S.D. Ind. 1957).

Opinion

HOLDER, District Judge.

■ Plaintiff commenced her action in this court on September 26, 1956, and after an adverse ruling on a motion to dismiss in which ruling the court without being requested granted leave to plead over, an amended complaint was filed April 15, 1957. The defendants filed their motion to dismiss the amended [289]*289complaint for the reason that it failed to state a claim against defendants upon which relief could be granted. The issue presented by the motion to dismiss is presented to the court for a ruling.

Plaintiff claims her action arises under the Anti-Trust Laws of the United States, more particularly under Sections 1, 2, and 7 of the Act of July 2, 1890, generally known as the Sherman Act (26 Stat. 209, as amended by 50 Stat. 693, as amended by 69 Stat. 282), and Sections 4, 7, 12, and 14 of the Act of October 15, 1914, generally known as the Clayton Act (38 Stat. 730, as amended by 64 Stat. 1125, as amended by 69 Stat. 282), said Acts being set forth in Title 15 of the United States Code (15 U.S.C.A. §§ 1, 2, 15, 18, 22, and 24), and other relevant sections of the AntiTrust Laws of the United States. Plaintiff does not refer in her briefs to any other relevant Anti-Trust Laws than those particularly designated.

The action’s central theme is around a lessor’s resulting damage from the bumping collision in competition of competing producers of crushed stone which terminated within two years after lessor increased the royalty payments from three to five cents per ton for her lessee, one of the competing producers.

Typical of anti-trust litigation, the complaint and briefs are lengthy and cited authorities are numerous.

Anti-Trust Statutes

Section 15, United States Code Annotated, Title 15, upon which plaintiff bases her action, provides that the plaintiff may sue for treble damages and reasonable attorneys’ fees when she becomes injured in her business or property by reason of any violation by the defendants of the following laws:

Sections 1, 2, and 18, United States Code Annotated, Title 15 read in part as follows:

“§ 1. Every contract, combination in the form of trust or otherwise, or conspiracy, in restraint of trade or commerce among the several States * * *, is declared to be illegal * * *.
“§ 2. Every person who shall monopolize or attempt to monopolize, or combine or conspire with any other person or persons to monopolize any part of the trade or commerce among the several States, * * * shall be deemed guilty of a misdemeanor, * * *.
“§ 18. No corporation engaged in commerce shall acquire, directly or indirectly, the whole or any part of the stock or other share capital and no corporation subject to the jurisdiction of the Federal Trade Commission shall acquire the whole or any part of the assets of another corporation engaged also in commerce, where in any line of commerce in any section of the country, the effect of such acquisition may be substantially to lessen competition, or to tend to create a monopoly. * * * ”

The primary purpose of the AntiTrust Laws is to prevent restraints of interstate commerce in the public interest, and to afford protection of the public from the subversive or coercive influences of monopolistic efforts and the right granted to plaintiff as a private suitor to seek reparation is secondary and subordinate in purpose.

Are the facts alleged in the complaint sufficient to show conspiracy for and/or monopoly and/or an unreasonable restraint upon interstate commerce to the prejudice of the public? To do so resort must be made to the “rule of reason” since the statute does not define “restraint of trade”. Appalachian Coals v. United States, Va., 288 U.S. 344, 53 S.Ct. 471, 77 L.Ed. 825; Standard Oil Co. (Indiana) v. United States, Ill., 51 S.Ct. 421, 283 U.S. 163, 75 L.Ed. 926; Leader v. Apex Hosiery Co., 3 Cir., 108 F.2d 71, 310 U.S. 469, 60 S.Ct. 982, 84 L.Ed. 1311, 128 A.L.R. 1044; Eastern States Petroleum Co. v. Asiatic Petroleum Corp., 2 Cir., 103 F.2d 315; Westway Theatre v. Twentieth Century-Fox [290]*290Film Corp., D.C.Md., 30 F.Supp. 830; 3 Cir., 113 F.2d 932; William Filene’s Sons Co. v. Fashion Originators’ Guild of America, D.C.Mass., 14 F.Supp. 353; 1 Cir., 90 F.2d 556; Feddersen Motors v. Ward, 10 Cir., 180 F.2d 519; Ruddy Brook Clothes v. British & Foreign Marine Insurance Co., 7 Cir., 195 F.2d 86; 344 U.S. 816, 73 S.Ct. 10, 97 L.Ed. 635; Glenn Coal Co. v. Dickinson Fuel Co., 4 Cir., 72 F.2d 885.

Whether the conspiracy for and/or the monopoly and/or restraint upon commerce is unreasonable depends on testing the alleged facts to ascertain whether the defendants’ conduct had a detrimental effect on the public since there is no per se violation charged in the amended complaint. William Filene’s Sons Co. v. Fashion Originators’ Guild of America, D.C.Mass., 14 F.Supp. 353; 1 Cir., 90 F.2d 556; Fosburgh v. California & Hawaiian Sugar Refining Co., 9 Cir., 291 F. 29; Eastern States Petroleum Co. v. Asiatic Petroleum Corp., 2 Cir., 103 F.2d 315; United States v. Columbia Steel Co., Del., 334 U.S. 495, 68 S.Ct. 1107, 92 L.Ed. 1533; 334 U.S. 862, 68 S.Ct. 1525, 92 L.Ed. 1781.

Assuming that there was an attempt or an actual monopoly factually charged in the amended complaint under Section 2 of the Act, in order for it to be actionable under Section 15 of the Act, 15 U.S.C.A. § 15, the facts must show an actual or a potential detriment to the public from the attempt to create monopoly or the actual monopoly. The alleged facts must also be examined to determine whether the intended monopoly unreasonably restrains interstate commerce; and whether the alleged facts disclosed an extraordinary control attempted and/or consummated of an appreciable part of interstate commerce was or could be affected by the alleged conduct of the defendants. Times-Picayune Pub. Co. v. United States, La.1953, 345 U.S. 594, 73 S.Ct. 872, 97 L.Ed. 1277; Bigelow v. Calumet & Hecla Min. Co., C.C.Mich.1908, 167 F. 704; 6 Cir., 167 F. 721.

The defendants assert that the amended complaint contains many allegations of legal conclusions which add nothing to the factual averments and must be disregarded in considering the motion to dismiss, with which the court agrees. It is elementary that in order to state a cause of action under the AntiTrust Laws notice pleading, or the pleading of conclusions is insufficient but that the elements of the action must be alleged clearly, concisely, and particularly and factually. Glenn Coal Co. v. Dickinson Fuel Co., 4 Cir., 72 F.2d 885; Feddersen Motors v.

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Related

Sandidge v. Rogers
167 F. Supp. 553 (S.D. Indiana, 1958)
Mary Lucille Sandidge v. Ralph J. Rogers 1
256 F.2d 269 (Seventh Circuit, 1958)

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Bluebook (online)
156 F. Supp. 286, 1957 U.S. Dist. LEXIS 2773, Counsel Stack Legal Research, https://law.counselstack.com/opinion/sandidge-v-rogers-insd-1957.