Professional Real Estate Investors, Inc., et al. v. Columbia Pictures Industries, Inc., et al. (508 U.S. 49)
U.S. Supreme Court · decided May 3, 1993 · Supreme Court Database (Spaeth)
- Citation
- 508 U.S. 49 · 113 S. Ct. 1920
- Decided
- May 3, 1993
- Term
- October Term 1992
- Vote
- 9–0
- Majority author
- Justice Thomas
- Issue area
- Economic Activity
- Disposition
- Affirmed
- Outcome
- Petitioning party lost
- Ideological direction
- Liberal
Opinion excerpt
Justice Thomas delivered the opinion of the Court. This case requires us to define the “sham” exception to the doctrine of antitrust immunity first identified in Eastern Railroad Presidents Conference v. Noerr Motor Freight, Inc., 365 U. S. 127 (1961), as that doctrine applies in the litigation context. Under the sham exception, activity “ostensibly directed toward influencing governmental action” does not qualify for Noerr immunity if it “is a mere sham to cover ... an attempt to interfere directly with the business relationships of a competitor.” Id., at 144. We hold that litigation cannot be deprived of immunity as a sham unless the litigation is objectively baseless. The Court of Appeals for the Ninth Circuit refused to characterize as sham a lawsuit that the antitrust defendant admittedly had probable cause to institute. We affirm. 1 Petitioners Professional Real Estate Investors, Inc., and Kenneth F. Irwin (collectively, PRE) operated La Mancha Private Club and Villas, a resort hotel in Palm Springs, California. Having installed videodisc players in the resort’s hotel rooms and assembled a library of more than 200 motion picture titles, PRE rented videodiscs to guests for in-room viewing. PRE also sought to develop a market for the sale of videodisc players to other hotels wishing to offer in-room viewing of prerecorded material. Respondents, Columbia Pictures…
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