United States v. New Wrinkle, Inc. et al. (342 U.S. 371)

U.S. Supreme Court · decided February 4, 1952 · Supreme Court Database (Spaeth)

Citation
342 U.S. 371 · 72 S. Ct. 350
Decided
February 4, 1952
Term
October Term 1951
Vote
8–0
Majority author
Justice Reed
Issue area
Economic Activity
Disposition
Reversed
Outcome
Petitioning party won
Ideological direction
Liberal

Opinion excerpt

Mk. Justice Reed delivered the opinion of the Court. This suit against New Wrinkle, Inc., and The Kay & Ess Co. was instituted in the United States District Court for the Southern District of Ohio by the United States, as a civil proceeding under § 4 óf the Sherman Act. Defendants are charged with having violated § 1 of that law by conspiring to fix uniform minimum prices and to eliminate competition throughout substantially all of the wrinkle finish industry of the United Statés by means of patent license agreements. Motions to. dismiss the suit were filed by defendants. The defendant Kay &, Ess urged that the complaint failed to state a cause of action. Defendant New Wrinkle pressed a sole contention: that it was not then and never had been engaged in interstate commerce and could, therefore, not be guilty of violating the Sherman Act. The District Court, without opinion, thereafter entered separate judgments as to each defendant dismissing the complaint and reciting in each judgment that the motion to dismiss was “well taken.” A petition for appeal was filed and allowed, and on October 8, 1951, probable jurisdiction was noted on direct appeal pursuant to a jurisdiction conferred on this Court by § 2 of the Expediting Act of February 11, 1903. 15 U. S. C. § 29. I. In granting the motions of defendants, the District Court, of course, treated the allegations of the complaint…

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