R.C. Dick Geothermal Corp. v. Thermogenics, Inc.

MEMORANDUM OPINION

This lawsuit began as a complex antitrust action with several pendant state claims and counterclaims. The parties voluntarily dismissed the pendant claims, leaving only the Sherman Act antitrust claims. As the plaintiff alleges in its complaint, the defendants have combined and conspired with each other in violation of Section 1 to restrain trade in the development, production and use of geothermal steam located on the plaintiffs property. In addition, the plaintiff alleges attempted monopolization and conspiracy to monopolize under Section 2.

I. FACTUAL BACKGROUND

At the heart of this controversy is 1,100 acres of land located in the Geysers district of Sonoma County, California (the “Dick property”). The land was owned originally by Alex and Audrey Rorabaugh. The Ro-rabaughs leased the land in 1964 to R.C. Dick. Shortly thereafter, Dick transferred the lease to R.C. Dick Mercury Mines Corporation (“Mercury Mines”). Through a series of intra-corporate assignments, a second R.C. Dick company, R.C. Dick Geothermal Corporation, acquired the lease and purchase option to the Rorabaugh land. In 1979, R.C. Dick Geothermal Corporation purchased the 1,100 acres.

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