PHILADELPHIA (CN) – The 3rd Circuit allowed a truck dealer in Toledo, Ohio to bring an antitrust lawsuit against Mack Trucks for allegedly fixing prices on its big rigs.
When a customer orders a Mack truck from a dealer, the factory custom-builds the truck and sells it to the dealer, who in turn sells it to the customer.
Toledo Mack Sales & Service Inc. tried to keep its prices low by competing on price against other Mack dealers. Toledo alleged that Mack and its dealers engaged in horizontal and vertical price fixing, because the dealers agreed not to compete with each other and stay within their territories.
Judge Jordan ruled that Toledo made a convincing case that Mack unlawfully colluded with dealers to fix prices, so the district court was wrong to dismiss Toledo’s lawsuit.