The Sub Corporation, Ltd. v. Best Buy Co. Inc.

MEMORANDUM

The Sub Corporation, Ltd. appeals the district court’s summary judgment in favor of Best Buy Co., Inc. We affirm. Be cause the parties are familiar with the factual and procedural history of this case, we will not recount it here.

I

The district court properly granted summary judgment on Sub Corp’s claim that Best Buy violated California Business and Professions Code §§ 17043 and 17044, a part of California’s Unfair Practices Act (“UPA”). To violate California Business and Professions Code §§ 17043 and 17044, “a company must act with the purpose, i.e., the desire, of injuring competitors or destroying competition.” Cel-Tech Communications, Inc. v. Los Angeles Cellular Telephone Co., 20 Cal.4th 163, 174-75, 178 , 83 Cal.Rptr.2d 548 , 973 P.2d 527 (1999) (emphasis added). Mere knowledge that a retailer’s below cost or loss leader sales will injure competitors or destroy competition is not sufficient. See id. at 173-75, 178 , 83 Cal.Rptr.2d 548 , 973 P.2d 527 . Under certain circumstances, an intent to injure competitors or destroy competition (an “injurious intent”) will be presumed. Sub Corp relies on two statutory presumptions created by the Unfair Practices…