Opinion · Supreme Court of the United States

Reiter v. Sonotone Corp.

442 U.S. 330

Type
Opinion
Court
Supreme Court of the United States
Jurisdiction
Federal
Date
1979-06-11
Topic
general

How later courts describe this case

  • holding that consumers of retail goods and services have standing to sue under the antitrust laws when they suffer a price increase resulting from anti-competitive conduct
  • holding that consumers of retail goods and services have standing to sue under the antitrust laws when they suffer a price increase resulting from anticompetitive conduct
  • holding that district courts are vested with broad power and discretion in matters of certification and management of class actions
  • recognizing that district courts “have broad power and discretion vested in them by Fed. Rule Civ. Proc. 23”
  • holding that “injury to business or property” was not limited to commercial interests
  • holding that Title VII may not be bypassed through resort to Section 1985(3)
  • holding that courts must give effect to every word when interpreting a statute
  • holding that the phrase "business or property" in the context of the Clayton Act, ch. 323, sec. 4, 38 Stat. 731, 15 U.S.C. sec. 15 , does not denote physical or emotional harm to a person.

Citator

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Cited by
1270 opinions

Headnotes

  1. Antitrust & Competition Law — Clayton Act § 4 — Standing — Injury to "Business or Property" A consumer who purchases goods for personal use and pays a higher price as a result of antitrust violations sustains an injury in "property" within the meaning of § 4 of the Clayton Act and may sue for treble damages. 442 U.S. at 337-345
  2. Antitrust & Competition Law — Clayton Act § 4 — Statutory Construction Statutory construction begins with the language Congress employed; the word "property" in § 4 of the Clayton Act carries its naturally broad and inclusive meaning, comprehending anything of material value owned or possessed, and money is a form of property. 442 U.S. at 337-339
  3. Antitrust & Competition Law — Clayton Act § 4 — Statutory Construction Congress's use of the disjunctive "or" in the phrase "business or property" indicates that "business" was not intended to modify "property," nor "property" to modify "business"; terms connected by a disjunctive are ordinarily given separate meanings unless the context dictates otherwise. 442 U.S. at 337-339
  4. Antitrust & Competition Law — Clayton Act § 4 — Monetary Injury Monetary injury, standing alone, may constitute an injury in one's "property" within the meaning of § 4 of the Clayton Act; a person whose property is diminished by a payment of money wrongfully induced is injured in his property. 442 U.S. at 339-340 (citing Chattanooga Foundry & Pipe Works v. Atlanta, 203 U.S. 390, 396 (1906))
  5. Antitrust & Competition Law — Clayton Act § 4 — Consumer Status A plaintiff's status as a consumer who purchased goods at retail for personal use does not change the nature of the injury suffered or the intrinsic meaning of "property" in § 4 of the Clayton Act. 442 U.S. at 340-342
  6. Antitrust & Competition Law — Clayton Act § 4 — Legislative History The legislative history of § 4 of the Clayton Act reflects that the treble-damages remedy was designed to protect consumers from overcharges resulting from price fixing, and no one questioned the right of consumers to sue under § 4. 442 U.S. at 342-344
  7. Antitrust & Competition Law — Clayton Act § 4 — Class Actions — Judicial Administration The possibility that allowing consumer class actions under § 4 of the Clayton Act may burden already crowded federal dockets is an important but not controlling consideration, because Congress created the treble-damages remedy precisely for the purpose of encouraging private challenges to antitrust violations. 442 U.S. at 344
  8. Antitrust & Competition Law — Clayton Act § 4 — Policy Considerations Arguments that consumer class actions will have a ruinous effect on small businesses and that their costs will ultimately be borne by consumers are policy considerations properly addressed to Congress rather than the courts and cannot govern the reading of the plain language of § 4 of the Clayton Act. 442 U.S. at 344-345
  9. Antitrust & Competition Law — Clayton Act § 4 — Class Actions — District Court Discretion District courts must be especially alert to identify frivolous claims brought to extort nuisance settlements and have broad discretion under Federal Rule of Civil Procedure 23 with respect to the certification and management of potentially cumbersome or frivolous class actions; recognition of the plain meaning of "business or property" need not result in administrative chaos, class-action harassment, or windfall settlements if district courts exercise sound discretion. 442 U.S. at 345