Opinion

ABC International Traders, Inc. v. Matsushita Electric Corp. of America

  • 14 Cal. 4th 1247
  • 61 Cal. Rptr. 2d 112
  • 97 Daily Journal DAR 2105
  • 931 P.2d 290
  • 97 Cal. Daily Op. Serv. 1430
Court
California Supreme Court
Filed
Feb 27, 1997
Status
Published
Author
Mosk
On the bench
Werdegar, Mosk
Cited by
48 cases
Authority
More cited than 15.2%

finding that the remedy under Section 9 17200 includes restitution of money lost by plaintiff or gained by defendant as a result of unfair 10 competition

How later courts described this case

  • finding that the remedy under Section 9 17200 includes restitution of money lost by plaintiff or gained by defendant as a result of unfair 10 competition
  • explaining that “these discounts ... were frequently kept secret so that the buyer’s competitors would not demand the same treatment”
  • “the language, context, purposes and history of [the statute] all point to the conclusion its protection extends to competition in the secondary line”
  • “[W]e conclude that a cause of action may be pled by alleging competitive injury among buyers” as well as among sellers

Written by the judges who cited it.

The opinion

I concur in the opinion of the court prepared by Justice Werdegar. It addresses all the questions presented in this cause, and answers them correctly. Of course, issues remain for resolution in the future. On its face, or only slightly underneath, Business and Professions Code section 17045 requires unfair competition, injury to a competitor, and a tendency to destroy competition. It implicitly defines "unfair competition" as secret discrimination by a seller between or among its buyers. It similarly defines "injury to a competitor" as harm to a competitor of either the seller or a favored buyer. By contrast, it does not define a "tendency to destroy competition." Whether the phrase should be understood so as to further "[c]onsumer welfare," which is "a principal, if not the sole, goal of antitrust laws" ( Cianci v. Superior Court (1985) 40 Cal.3d 903 , 918 [ 221 Cal.Rptr. 575 , 710 P.2d 375 ]), and to prevent "output restriction," which is "one of their principal targets" ( State of California ex rel. Van de Kamp v. Texaco, Inc . (1988) 46 Cal.3d 1147 , 1183 [ 252 Cal.Rptr. 221 , 762 P.2d 385 ] (conc. and dis. opn. of Mosk, J.)) — as it apparently should be — is a question for another day. *Page 1272

This is a copy of a public record, reproduced as it was published. It is not legal advice, and it may not be the version a court would rely on. Check the official source before you cite it.

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