Aerotec International, Inc. v. Honeywell International, Inc.

Good Law
836 F.3d 1171·2016 WL 4709868·2016 U.S. App. LEXIS 16571
United States Court of Appeals for the Ninth CircuitSeptember 9, 201614-15562California8,195 words

Opinion

Opinion

McKEOWN, J.

This case reads like an antitrust primer for aftermarket issues, with claims for exclusive dealing, tying, essential facilities, refusal to deal, price bundling, and price squeezing under Sections 1 and 2 of the Sherman Act and, differential pricing/price discrimination under the Robinson-Patman Act. „ Honeywell International Inc. (“Honeywell”) is one of the world’s two largest manufacturers of auxiliary power units (“APUs”), which power aircraft functions such as electricity and temperature. Aerotec International Inc. (“Aerotec”) is a small, independent company that provides maintenance, repair, and overhaul (“MRO”) services for Honeywell APUs. Aerotec argues that Honeywell leverages its monopoly power over the APU parts market to unfairly smother competition in the repair services market.

Aerotec’s antitrust claims fail for lack of evidence to link Aerotec’s misfortune to any cognizable basis for antitrust liability. This case serves as a reminder that anecdotal speculation and supposition are not a substitute for evidence, and that evidence decoupled from harm to competition — the bellwether of antitrust — is insufficient to defeat summary judgment. As the Supreme…

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