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9 U. Dayton L. Rev. 479 (1983-1984)
Trade and Professional Associations: An Overview of Horizontal Restraints

handle is hein.journals/udlr9 and id is 487 raw text is: TRADE AND PROFESSIONAL ASSOCIATIONS: AN OVERVIEW OF HORIZONTAL RESTRAINTS Murray S. Monroe* I. INTRODUCTION In the antitrust realm, horizontal restraints-restraints on business imposed through the concerted conduct of competitors-offer one of the quickest and surest roads to civil, and possibly criminal, penalties. Moreover, businesses, narrowly defined, have not alone suffered under the antitrust laws. Because members of trade and professional associations are generally competitors, their practices may also be con- sidered horizontal in nature, and thus within the ambit of the antitrust laws. Section 1 of the Sherman Act1 and, in Ohio, the Valentine Act,2 are the statutes under which the legality of such horizontal restraints are measured. This article will discuss the basic purpose of section 1 of the Sher- man Act, the essential elements of an offense under section 1, and the remedies or penalties accompanying such an offense. It will then ex- amine the application of section 1 to trade association activities, noting the potential for increased trade association antitrust liability implied by a recent Supreme Court case, American Society of Mechanical En- * Partner, Taft, Stettinius & Hollister. B.E., Yale University (1946); B.S., Yale University (1947); LL.B., University of Pennsylvania (1950). This article has been adapted from a speech given by the author in conjunction with the 103d Annual Meeting and Convention of the Ohio State Bar Association, before the Antitrust Law Section. It was and is conceived as a primer on horizontal restraints as applied to trade and professional associations and not as an in-depth study. The author wishes to thank Bill Markovits, associate, Taft, Stettinius & Hollister, for his valuable assistance in the research and writing of this article. 1. 15 U.S.C. § 1 (1982). 2. OHIO REV. CODE ANN. §§ 1331.01-.14 (Page 1979). While the Valentine Act does have a degree of importance to Ohio practitioners, Ohio courts have held the statute to be patterned after the Sherman Act, and thus decisions under the Sherman Act have repeatedly been used as guidelines in deciding issues under the Valentine Act. E.g., C.K. & J.K., Inc. v. Fairview Shop- ping Center Corp., 63 Ohio St. 2d 201, 407 N.E.2d 507 (1980); George Ast Candy Co. v. Kling, 121 Ohio St. 362, 169 N.E. 292 (1929); List v. Burley Tobacco Growers' Coop., 114 Ohio St. 361, 151 N.E. 471 (1926); State ex rel. Monnett v. Buckeye Pipe Line Co., 61 Ohio St. 520, 56 N.E. 464 (1900); Superior Dairy, Inc. v. Stark County Milk Producers' Ass'n, 89 Ohio App. 26, 100 N.E.2d 695 (1950); H. Lipman & Sons v. Brotherhood of Painters, 63 Ohio App. 157, 25 N.E.2d 853 (1939); State ex rel. Brown v. Zayre Inc., 41 Ohio Misc. 117, 324 N.E.2d 186 (C.P. Ct. Cuyahoga County 1974); State ex rel. Brown v. Palzes Inc., 39 Ohio Misc. 155, 317 N.E.2d 262 (C.P. Ct. Cuyahoga County 1973). See generally Matto, Firestone, Rothstein & Wiseman, Antitrust Enforcement in Ohio, 37 OHIO ST. L.J. 559 (1976); [19741 ST. ANTITRUST L. (ABA Antitrust Sec.) 35-1. In view of this judicially imposed similarity in the statutes, this article will deal primarily with Sherman Act cases.

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