Empire Rayon Yarn Co. v. American Viscose Corp.
Empire Rayon Yarn Co. v. American Viscose Corp.
Opinion of the Court
This opinion supersedes the previous opinion of a panel of this Court wherein that panel reversed an order which had granted defendants’ motion for summary judgment and denied plaintiff’s cross motion for summary judgment. 354 F.2d 182 (1965), Moore, C. J., dissenting. Thereafter defendants petitioned for a rehearing in banc which by order dated March 31, 1966 was granted, reconsideration to be had on the record and briefs. Because of the importance of the issue involved, the Court, sua sponte, requested the Federal Trade Commission “to submit a brief amicus curiae on the issues raised by this case.” The Commission filed such brief to which appellants and appellee replied. After due consideration of the briefs filed originally, of the briefs filed in the in banc rehearing and of the position taken by the Commission in its amicus brief, we unanimously affirm the order granting summary judgment for the defendants and denying the cross motion therefor.
The facts are set forth adequately in the panel opinion, 354 F.2d 182. Nor need the arguments pro and con therein stated be repeated. The Court adopts the statutory interpretation set forth in the dissenting opinion, 354 F.2d, pages 188-192. Brief reference, however, should be made to the views of the Federal Trade Commission, the agency which to a considerable extent is charged with the administration of the RobinsonPatman Act.
The issue, as before, is whether the payment by American of a 5% discount from list price to Malina and Gutner, which together with Shawmut had been acting for special factual reasons as jobbers for American, was an illegal brokerage payment within the compass of, and in violation of, Section 2(c).
The Commission
It is our conclusion that if plaintiff has any grievance, it must find its remedy under Section 2(a) and not as here under Sections 2(c), (d) and (e).
Affirmed.
. Commissioner McIntyre did not concur in the Commission’s position for the reasons set forth in his dissenting opinion in Edward Joseph Hruby, 61 F.T.C. 1437, 1449 (1962).
. Plaintiff has abandoned the § 2(a) claim.
Reference
- Full Case Name
- EMPIRE RAYON YARN CO., Inc. v. AMERICAN VISCOSE CORPORATION, Fred Malina, Arthur Malina, Edythe M. Charnas and Fred H. Diamond, co-partners doing business as Malina Company, Gutner Brothers Corporation
- Cited By
- 1 case
- Status
- Published