# Amicus Curiae Brief — City of New York v. United States

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## Record

- **Collection:** Supreme Court brief
- **Document type:** Amicus Curiae Brief
- **Published:** January 1, 1970
- **Citation:** 397 U.S. 248

## Text

FEB 24 1979

a

: . ay the 3 eres
‘Supreme Court of the CiWROBRs
_ October Term, 1969 FEB 541970

Let OFPCE OF THE LER

No

CITY OF NEW YORK, te

Appellant,
UNITED STATES OF AMERICA, AUTOMO-
BILE MANUFACTURERS ASSOCIATION,
“! “ ING., GENERAL MOTORS CORPORATION,

FORD MOTOR COMPANY, CHRYSLER COR-
PORATION, and AMERICAN MOTORS COR-

PORATION,
| Appellees.
“On Appeal from the United States District Court for the
Central ewe: of California.

BRIEF AMICUS CURIAE ON BEHALF OF THE COUN-
TY OF LOS ANGELES (CALIFORNIA) AND THE
AIR POLLUTION CONTROL DISTRICT OF THE
COUNTY OF LOS ANGELES, IN SUPPORT OF AP-
PELLANT. CITY OF NEW YORK.

: JOHN D. MAHARG,
: County Counsel
. JOHN H. LARSON,
: Chief Assistant County Counsel
; DAVID D. MIX,
Assistant County Counsel
TRAVERS D. WOOD, :
Deputy County Counsel
-. 648 Hall of Administration
Los Angeles, California 90012
soa Attorneys for Amici.

WESTERN PRINTING COMPANY, WHITTIER—-OXBOW 6-1743

PCLERK

INDEX
| Statement of the Creme ca i mate 1

_ Interest of Amicus Curiae

, we
eee oe sp 8
ee |

I. Introduction... sept sctai

II. The Consent Judgment Frustrates Access
to the Facts of the-Alleged Conspiracy ......... 10

JIT. The Decree Fails .to Provide Safeguards
Necessary to. Promote the Congressional
Purpose of Assisting Individual Litigants .. 12

IV. The Consent Decree Entered Below Is Not in
14 ‘ihe Publie Interest... . United States, 366 U.S. 683
(1961). : ‘

2
3

INTEREST OF AMICUS CURIAE

This brief Amicus Curiae is, submitted on behalf, of
- the County of Los Angeles’ (California). and the Air
Pollution Control District of the County of fos An-
geles, anid i support of the Jurisdictional Statement
filed with this Court on January 26, 197 (0, by appellant
City of New York.’ The amici here have substantially
the same inte rest, us appellant."

° «

| There ‘is hardly nied: to imention thie continuing
pr oblem air pollution poses for major urban areas such -
as New York City-and the Los ae sa The
urgency of the situation, especially in Los Angeles

~- County, where both the humuzin and the iadtemobile pep-

ulation are increasing rapidly, has never beew more ob-
- Vious:..\ solution to the control of automobile cinissions
mist he forthe ‘oming carly in the new decade.

The ( ‘ounty of Los Angeles and the Air Pollution
Control District have been actively engaged in the
control of air pollution for over two decades, The Air.
Pollution Contre) Law. of 1947 (Cat. Heart &
Sarety Cove), adopted ‘by the California Legislature

*Since amicus here is a political subdivision of the State of California, let-
ters of consent to filing of this rs f. or a motion for leavé to file, are unne-
cessary. U.S. Sup. Ct. Rule 42(4), 28 U.S.C. It is fyrther hoped that the
Court will give fale conskle hei to this brief, despite late filing. No notice
of this appeal was received until nine’ days after appellant filed its ‘Jurisdic-
tional Statement.\The period since then has been occupied with the writing
and printing of this brief. Pursuant to the advice of the office of the Clerk of
this Court, typed qopies of this brief were served upon all-parties prior to the

‘filing of printed gapies with the Clerk.

“A motion for leavé to intervene, submitted by aniuct to the District C ourt

reciting substantially the same grounds as the motion submitted by appellant
was denied below. © | ; ; em

5

is recognized and used throughout the uation as a niodel

_ for effective air pollution’ control regulations.

The Air Pellution Control District has expended.

approximately. $60,000,000. of “pulilic funds since its
creation under the Act. Its program, its rules and reg-
ulations, and its effectiveness are recognized through-

out the nation and the world. No agenéy, including the ©

State of California and the Federal Government, can
claim even to approach the record of the District in

the field of air pollution a Be. 4 \
Los Angeles County, wiff?its low wind velovities -

and frequent temperature inversions, is especially sus-
ceptible to air pollution. Emissions of air coutaminants
from stationery sources are strictly controlled by law ;
but each day motor Vehicles discharge 12.000 tons 6f
hydrocarbons, carbon monoxide, oxides of- nitrogen,
and other ( ontaminants into the air of the Los Angeles
Basin. :

; , |

The fact.that emissions from motor vehicles polite .
the air has been known for inany vears. In the carly
1950's the automobile was clearly identified by scien-
tists as the primary cause of the typical Los Angeles
pliotochemic al ‘ smog.”

These matters Were known to the automobile manu-

facturers; and County officials regularly informed
them and communicated with the in. The mimufaeturers
neither recognized that they had any re
man would conclude that any such agreement could
forever protect. the indfistry. Its sele purpose must
have heen to accotiplish: one thing —delay, Obvieusly.
it has succeeded. The monetary gain to the industry
from the de ‘lay inust -be estimated: in billions of dol-
lars. The resulting irreparable damage to the publie
cannot even be estimated. The Coruty and the public
are justly concerned about the faet thiat thik automobile
industry appears te have conuuitted a serious and eal-
culated act of fraud? in violation of fede ral iw, and
to have escaped any penalty for havins donesso. The
judgment entered below does nie Leer te the detend-
ants, It merely protects thein froma naolie trial Which
would reveal the details of the conspiracy alleged. not
conly to the public and a concerned Congress. but alse.
to those private Individtaials aul public aceneies which
have just and lawful elaine ‘agains? the alleged con-
SPLRATORS, Indeed. the. ¢ halleng ed cetise nt jndemnent
cmv be worth as muc ‘h in dollars to the indnst ry as the
or isin delay,

» “See Appendix Bopp 2la-23a

‘It will be our purpose, in this brief, to show, first,
that the consent judgment entered below frustrates Qhe
‘ability of private litigants to obtain the informayfon
which the United States Attorney General and the
Federal (Grand Jury were able-to obtain; second, that
the decree fails to provide safeguards necessary to pro-
mote the Congressional purpose of hssisting individual
litigants; and third, that the particular cousent judg-
ment in this cise is not in the public interest.

ARGUMENT
I. INTRODUCTION. |

The entry of a consent decree in antitrust cases is a
judicial function, the force of which is not to adjudi-
‘ate the merits of the contested issues posed by the Gov-
erhment’s complaint, bu rather to decide whether or
not the court should ex@rcise its equity powers in such *
a fiéshion as to make. the provision of the proposed
settlement’ betiveen’ the Government and the defend-.
wuts a decree of the court.” [t appears tobe the general

View that the public interest is most often served by
judicial approval of such decrees.'' Nevertheless, ‘tit
is the court’s.duty to protect the rights of persons who -
are not parties to the action and, ef course, the decree
should not be approved if it is contrary to the public
interest.""* Consequently, where ‘countervailing con-"—

United States v. Carter Producti Co., Inc., 211 F. Supp. 144, 148 (SD.
N.Y.,’ 1962) . ~

yd. .
12See Appendix A. Opinions of the District Court, Oral Opinion, at p. 3a.

| 7

scciliad

siderations of a substantial nature are present, a court
would be justified in refusing to enter such a decree.”
There are several factors whier sugyest that in this
case the consent judgment should hot arg

een ap-
proved.

2

Consent decrees have been a traditional mechanism

for the settlement of antitrust controversies without

the burden of protracted litigation. As such they have
justly received validation by this Court." The theory
behind such judgments has been that the décree itself,
if properly drafted, will -meet the anticompetitive
practices alleged in the complaint and thus protect the
public interest via the maintenance of unrestricted
market forces, The approval by the District Court of
the consent decree here in question Was evidently
grounded on this rationale.

The public interest, however, is not protected by a
consent decree entered in a case Where such interest is
obviously more than economic.” Increased air ‘pollu-
tion leads to increased ‘social costs”, such as respira-

tory disease and crop damage," the implications of
. Which should be considered **countervailing consider-

13211 F. Supp. 144, 148, supra.
ies & Co. v. United States, 276 U.S. 311 (1928)

See Appendix A, infra, Oral Opion, at p. 5a. Memorandum Olohdea.
pp. l3a-l4a.

6Most activity in our sdciety, of course, can be said to have economic im-
plications.. Reference here ix,made to the more precise concept of market
economics with which antitrast legislation has tradition ally dealt

7A more detailed discussion of the effects of ais poll ution appears in the
section of this brief entitled “Interest of Amicus Curiae hee nnin at p. 5

—10— : . giving private individuals who claim to
have been injured by these |fteesses the right to
found ‘their suits for redress upon the facts and
judgments proved and entered iii suits by the Gov-
ernment where the Government has upon its ewn
initiative sued the combinations complained of and .
won its suit... . It is not fair that the private liti-
gant should be obliged to set up and establish again
the facts which the Government has proved. He
‘annot afford, he has not the power, to make use of
such processes of inquiry as the Government bas
-command of. Thus shall individual justice be done
while the processes of business are rectified and
‘squared with the general conscience,’™
In 1955, Congressman Wright Patman echoed Pres-
ident Wilson's statement when he stated to the House
Antitrust Subcommittee: |

“2. You and I have recognized that we need a

strong and effective antitrust policy to preserve
‘competition, We have recognized that a necessary
and integral part of any such policy is full and
effective enforcement of sour antimonopols® laws,
For many years: it has been recognized that the
‘Government alone is not able to provide all of the
necessary enforcement. The help of all citizens is

-. “24Woodrow Wilson, “Special Address: Delivered at -a Joint Session of Con-
gress,” January 20, 1914, Messages and Papers of the Presidents, Vol. XVI,

Bureau of National Literature; p. 7918, as quoted in MacIntyre.

of the Private Litigant in Antitrust Enforcement,” 7 Antitrust Bull

"The Role
113
120 (1962).

3. 119-

‘

ee ay:

nee ded. w know that private parties will help in
thisendeavor if we afford them rightful opportun-
ities, In other words, We ean expect ‘this help if we

give them the right to proceed, aud see to it that
they. are treated. reasonal ly respecting” recoveries
of damages and costs of litigation. ix

The Senate Vommittee re port on proposed amend -
ments to Section 5 of the Clayton Act states:

“At the time of enaetnient of the Sherman Act,
the major emphasis was upoy methods of enforce-
ment, amd it was believed that the most effective
method. in addition to the imposition of penzilties.
by the U nited Stites, Was to prov idle for private
treble-damage suits. It was originally hoped tliat -
this would encourage private litigants to -bear a
‘cousidetable ameunt oof the ‘birden and expense
of enfore coment aud thus save the Government time
and: money, |
The enactment of the Claston Aet in 19T4 was
im part a recognition by the Coticress that: Seetion
7-of the Sherman Net had net successfully -stimu-
lated private ditixatiou for enforcement of the |
Sherman Act.

Since thet chactinent of the 4 ‘lavton Act, “the
bulk of private antitrast fitigation has followed
saitnedla governinent getion., so that the jude-
hit’ lits and decrees in the le aferal prPereae “lini could
he used toe istablis ha Ciuse, Awassing or “ide wee for
antitrust causes woul otherwine beu prohibitive ly

= Syate ment ot Res a] w“ right Patan’ hi. lore thee Nntitrust Sulbcwdnunttiee of
the Comunittee on the fist siary. House’ of Ke piesentative on IK 1245
‘August ©, 1998. Id at 11d-1Lly : \*?

ites:

Ler pensive task for most plaintiffs. OS. Reps No.
OLY, 54th Cong., Ist Sess.. June 21,1955; US. Code |
Cong. & Ad. News. 2329 (1955) ) (Eimphasis add- .

ed).

The Supreme Court in Linich Motors Corp. v. Ge M-
eral Motors Corp., DAO ULS. DOS, (IHL) © xainie ae the
history of the policy that assistance eto private litigants
from government: action was to be encouraged us a
significant factor. in compete vhedience to the anti+
trust Jaws. - The Court stated ; pai

*Seetion 4 2 Of the ¢ ‘avton Aet was “adopted in’
response to a recone mdivt ion by President Wil-
son that Congress ‘agree*in giving private individ-
uals... the right te found their [antitrust suits
for redress upon the facts and judginenuts proved
and entered in-suits by the Government avhere the
Goverume nt lias. eo ested. the combinations TE be
plained of and won. its suits: . 51 Cong: Ree:
1964. Congressional reports. and delittes. en the
proposal whi¢h ultinidtely became par. 5 retleetoa
purpose to minindze the Mirdens of litigation for
injuredsprivate suitors by making availible tethers.
all matters previously: establis heal Ly the Govern
nent i antitrust actions, oe

In ¢ indmmon W. Aba A, Wols, Ane, Zlob. Sapp.
833, (ED. Mich. 1963), the € ourt hist tisseal the polies
of the antitrust laws with respeet to private: treble

damage actions: | ve
The purpose of Seetion Mot the 4 lawton Net,
Tithe 15. U28.C.. par. 1. whieh provides Poi pra’

—I1s—
vate triple damage suits ix ‘to enlist “the business
public... as allies of the government in enforcing

the antitrust laws:"" the means chosen, on the oth
er hand is te give the injured | party cumple reco
petise for the wrong suffered” allowing three-fold
recovery of damages.” Report of the Attoruey Gen
eral’s National Conunittee to Study the Antitrust
Laws, p. 378. (1955). In other words? the private
antitrust suit is a substantial weapon in ef tectuat
Ing anational policy of protecting, presery tag ame
promoting: free couupetition in the beter hss t} Hace ‘hy |
blending ‘antitrust policy with private COMER. |
tory law.” (215 F.Supp. att SO),

s

The actions of appellant pee amici, via their appl
cations to ifiterveue in the Dist riet Court, represcutes
the blend. of public and private enforcement act thes

contemplated’ by (‘ong ress.

This consent decree frustrates thie: Cone resates
purpose dy substambially Climinatitig the possil
private-suits. Rather that assistiie private prliateat
the decree requires then to duplicate the extensive gor”
ernment investigation aru at fords the qleboredsants
pellees an OPPortunits toseseague without CLE Laks
— guilt. | | }

The publie funds, rigmpower atl fagilytees

ed by the Department of Justice in its tnvcstece
this matter far execed the resourees |
other plaintiff. The consent deereod howevs o, wens 7?
- useless the results of the Vnatiteust: [hiv is a one
} . ,

.
‘-

—l9—

and ed penditures, Tie deerer completed demtes te the +
public, Which has been injured Dv dletetuiants” viela-
tion of the antitrustdaws, any benefit fren: the gevern-
tient investigation. Not only does the deotee specits
that it is neither evidence nor an adtatsster: ot guilt, it
omits sens prevision for the release of inturn then or
evidence to private litigwnts. -/ | 2
“The obnission of girs dssistanee Ben ane prhatection of
individual Ltisants sting in the peblie-trterest runs
-eontrary te the Trequently stated polies of the gate
Uist laws. “The Counts and District ’s main of jection
here ds that the public Interest tie treble damnace anti
trust ehfercement, as expressed by the Conoress. a
Presa enfiot the United States; anal the Sti eiie ( ‘ourt,
Is het \retected at all I this cheer tha Distriet
Court ah tet raerels recone “an we roedrent ot the rt eee
Mess it made-am independent jucheia! determination as
: to the rel quer of the cheeroe ty prretewhine the publie
I Interest, Unite d States v1. acitt. d> ta... 2K RUS. 106,
ANS CHM). The deerve should hav sesstitnlted: previ
SiOnsS to seetne the benefits «1 thie eeVerbenin nt aetion

herein for private and public Htrosnts

hoth idee ete uppetlaut j Pertrcnmul tied fientionus.

to the deeree prtorite its entey ba the Pstoer Court,
Theise nioditieations were te dive paecidesl the assist

dee contemplated by Conocress te private litheants se

that thes qateht have nile tueanine yal ascot the ex

parnncditeane: oof peublic futels. aed the. ts et ooverm’
Poenit oftpenads ape the divestioatwes ci thy stter. Foy
, .

—2Q—

example, the modifications would have thus enabled the
County of kos Angeles and the Los Angeles County Air
Pollution Control District to effectively. take up the
role planned for thenras the other arm of antitrust en-
foreement. The partnership hetween federal and ** pri-
vate’’- plaintiffs envisaged by Congress would thus
have operated as a truly substantial we: ipon by com
bining the investigative ‘resources of the federal goy-
ernment with the incentive of compensation by treble
‘damages for persons injured by the conduet of the de-

fend: ints-appellees,

The primary requested modifications imecluded the
following: |

a. The inclusion ofa limited admission of guilt
to give the consent decree proud facie effect under.
sii D(a). of the C layton Act; and, Y de

The inelusion of terms.in the decree which
san have inipounded the evidence vathered by
the govermment and make it available to private
litigants. ,

A. The Decree Should Have Included a Limit-
ed Admission of Guilt.

When the judgment Was signed, there should have
heen included in-the decree a limited admission that
the defendants violated the Sherman Aét as charged
in the’ covermment complaint. This admission (com-
monly known as an asphalt. clause’) would have

heen solely for the purpose and to the extent necessary

ae, | ee

+ to give prima facie effect to the decree in publie and’

private treble damage actions. The Department of
Justice has previously recognized the noed to.cooperate
With “private” litigants in pursuit of its obligation te
further the public policy established by Congress. The
‘Department has accomplished this obtective by provid:
ing for such limited adinissions of euilt as part of its
‘consent decrees. The consent decrees Ine liited States
uv. Lake Asphalt and Petrol win Co. of Massachusetts,
1960 CCH Trade Cas. par. 69. 855 CD Mass. 1860

United States ve Bituninous Concrete Association,
Tne., ct al, 1960 CCH Trade Cas. parr, GY STS DD. Mass.
~ 1960). and United States o. Allied ¢ | Cpitca?t ¢ ‘orpcel al,
1961 CCH Trade Cas, par. 69, 928. (1D. Mass. 1861) in
eluded specifie provisions admittin: giuilt for mile

poses of private actions by state and floes! Governments

Which followed federal government snits. The decrees

In each of these cases contain aprox xiniately the: fol

lowing language :

oh , defendants having oediaitted the allega
tions contaimed in the VOVEENTEORD say ipelsudant
herein, solely for the purpose and te the extent

Necessary to vive the oblow ia sul Relbesettons tr

proma facte effect stated in Scetion PE dadow in the

sults specified Voesborw . cerned haat thee cot dae tv PPTLD TD aan

TL. Phat on the basis of said Hrited adicdssien

the defendants SPRATT N hereto hy eoetheageal an
an unlawful combination aim keonsidnae. dno vieds
tion ot Seetien Poot the She ae Vet os cele oy

In the said ‘combate, this adjudicate whine Leet

Bi «

‘the sole purpose. of establishing the promda facte
effect of this Final Judgment, in the sutts speci-
fied below, and for no other purpose.

“Rach defendant is enjoited and restrained
from denying that this Final Judement-has such
prima fuctc effect inany such suit; provided, how-
ever, that this section shall not be deemed to pro-

hibit aay such defendant from rebutting such +

prone facto evidence or from asserting any de-

fense with respect to damages or other defenses

“available to it.”” (The decree then sets out the state
private actions to which the decree applies. ) (1960
em € ll Trade ¢ Cas. at par. ah 27>).

The consent decree in this case permits the defend-
ants to aveld an adjudication or admission of their
euilt by agreeing simply to refrain in the future from
repeating acts which have already succeeded in their
Purpose, The dee ree enables the defendants lo deny to
members of the publie vietimized by their conduet any
benefit from: the government aetion aud will require

each litigant. te atte mipt to duplicate the Nntitrust Ii-.
Visien's e \pe niditure of funds and personny ‘| tii au rem
: Vestigation at the same teatte ts and Issue ~ rele rread te
in the government) complaint, More OVER, st te ve stiva-

tion ane the (ime ot new Aetions will wdversely affect
the purblie interest by sulistantially postponing the
trial of this matter, ba Pivadel phia Most Author:

itu. Amertean Radiator and Standard Sanitary ¢ ‘Orph,
260 F Supp. HOCK. DPA. LOT the courtoin refusing

° ®
to delay discovers padceedings (na private treble

-

a ae

damage suit whi& paralleled a government criminal
antitrust action, stated: eee

“Brom the specific enforcement role given the
private treble damage plaintiff by Congress, it is
easy to discern a Congressional interest in the ex-
pedited trials of sue ‘h actions. It would be smomial-

ous to conclude othe YWIse, The antitrust laws, them
= function as the Congressional blueprint de-
ened to keep the American cconomy operating
within. the free enterprise guidelines mapped aut
under these statutes. Any threat to the free enter-
prise footings of our national economic superst ruc-
ture, constitutes, in Coneress* judgment, an im-
mediate and serious threat to our national welfare.
The strong THEE HELE of triple POCOUCH EY ¢ HCOULUIES
private litigants to Vigorous! y Cu bores the anti-
trust laws. Against this backdrop. ‘uuwarranted
stays of proceedings stvinie and offset any, incen
tive otherwise contained in the possibility of ‘triple
"repovery, Del av te nds‘to discourave pProseceu ion of
civil litigation. As time passes, memories of wit-
nestestade. The inherent value of a claim: for dam-
aves, puhanced by potential triple recovery, dimin-
ishes.** (269 I. Supp. at 542) Cemphasis added ).

The government investigation took many vers
even with the: vast resources, facilities, Hupaasery aie
dooney at its disposal. The duplication of thet effort
and expense by private jitigants must. of Necessity,
create a serious delay in the trial ot wcler's eause. Mn
plain fact as that nobody else has the facilities, man

power, nd Maney to ly heate the offers ‘

-

ar Se

'B. Appellant, Amici, and Other Private Liti-
gants Are Entitled to Preserve the Avail-
ability of Evidence Gathered in 1 the Gov-
ernment Action.

During the course of the government's investiga
tion, documents were submitted to the Antitrust. Di-
Vision by the defendants, co-conspirators, and other
persons. ‘These documents were submitted both -vol-
untarily and pursuant to subpoena. [i addition, testi-
-qnony was taken of a mumber of witnesses -before the
grand jury, We therefore seck this Court's protection
of all the evidene “gathered by the gove ‘rhment In its
investigation. There is, we belivve, a serious danger
that the dectuunents collected by the eovermment, if re-
turned to the persons who submitted then. will be dis:
- persed or destroved, The identity and contents of such
docume nts will thereby. heeotme pilaysically unavail-
_ ableto all, litigants in the prosee ition of their private

treble damage actions. This could well be fatal to any,

private litigation, and would thus totally frustrate the
ational antitrust polley previously discussed. The
courts and the Antitrust Division ttsell have recounized

the existence of this problen: and have sought to pro.

vicle the private litigarit With aeeess te. or at the ver

least protection of, the ey Vide hee cathered by the gov

ernment, Minw sola Minimey aid Maonutaclartng €o.

New Jersey Woodfinishing Co. SS US. 31 aig
Qe

(1965); ODT pane pave Refining Cora. Carte rove Fadl Yeo,

PO4-LOb (9th ia Ob), cert, detect, ao tS OO)

= »5 ™ Y -
« : e

(190b . Commoner alth Kitson Core. MMis-Chalmers
Miu. Co. 2h F.Supp. 729, TE TIO ONAL. 1962) ;
United States ve. Eta pe rab Row Pallishe s. due. and
Related Cases, 67 © 612 through 67 © O29 OND HL,
Nov. 20, 1967, unpublished): dl. PL ieod & Sous, Tne.
Docket Nor T7OM, SS POPC LS PESee tise Cig9e1)
Antitrust Handbook, PederalState Conterenee-an Mae
titrust: Problems, US. Dept. ot Husties C1909). po 65.

“This Courty-in Mennesote: Minin and Monifactar-.
thy Co. vl New Jerse rT Woods eishine ER a4 | LS.
oll (1905), discussed the bn helits to private litigants
from prior government detlons contetupheted by Con
Pes in Section 3 of the ¢ Layton Net! Aiiong these
Deriefits, recording lo this Coeur was cEOCUSS toh Aloe
Ley ey idence marshalled DN the waver biti nt, Phe
Court stated : ji

The veverhthent’s tratia! meTOn tay cad: the
private Ltigant ina number or others. Plead
Ings, transeripts ot bestitmota oxbilats and deen

tents ape available te Rite i mest distances, In
fact, the rules of the Coniunission seoppovidies do.
CER spar, LAS Ge) EGO) Soe generally HACER
pars Lt bet seq i9de Phe greater pesotirees
“aud eX perftise of: the Conan sstom anid its stall ren
der the pirivate suitor a tremendous benefit deside
romans value he may derive tres hee Midenient or
deerees Indeed. se useful is this serviee that vov-
eruinent proceed ries. aan “Perec ned as oa hit jer
sotiper of evidences Por private parties, See Bieks.

es Vic DP, } antine wh A int ts ved dy wei Deuseue

Actions,” 4 Antitrust Bull. 5 (1959); Loevinger, .

“Handling a amt s Antitrust Damage Sait,”
4 Antitrust Bull. 29 (1959)." COST UScat BIO).

Ine Ol yin pee LR fining: Ca, -*. Carte r, 332 F.2d 260
(9th Cir, 1964)s cert. denied, 379 Es: 900 (196-4) the —

Court of Appeals for the Ninth Cireuit held that the
exemption of consent decrees trot the operation of

Section oa) of the Clayton Net did not give defendants:

a right te nom-disélosure for an ietelinite: perior of
lime or the right to wathhold: information which would
otherwise be availyble to dther litigants who might have
need of it. The Court also stated: )

— Ets Tmamaterial thatcOlvmopte could) possibly
obtain the same iifortiation throuch the process of

propounding its own interrogatories to Standard,

nnd General, dt is eatitled fool none what those com-
pentes and the alleged coccousprrators fold the
Groverineut, ane This requires excioination of the
dlocutnients Whieh were eXchanged, op exchanged
and filed dm that aetlon. (So 2d at 266) Cem-

phisisis ndded).

Ih Ae sealled Mleetrieat Pequanponenenat eases (Come

monmealllh edison Coc. Was Chaliecrs Mita. Co. 211
F.Supp. T20 ON SDR TIL. E62) en ‘of the Sienitieant
; re trial developments was the entry af an arder re-
quiring weiteb defendant un the padvate Hthoation whieh
followeedl the OVembireent orpraireelsccet pens ho pr tevee ma
central depositary copies anid lists of vurtets corporate
dloctumients that tid been tiberreitted te Philadephia

erinc ts ~ hive stioatinge the brichiaistes,

a ‘ yr

The Federal Trade Commission in fH. 2?. Hood &
Nous, Tne, Docket No. THIS BPC, 1Is4 \( L961) re-
fused. the respondent's request that its doctiments he
placed under seal to avoid exposure to possible treble
damage plaintiffs. The Commission stated :

“Certainly the exposure of the respohdent to

possible treble damage actions iss ndt. the: type of
injury which would constitute ‘good cause’ for
secreting this evidence, Placing documents ‘te
camera’ for this reason would constitute to direct
attempt to frustrate and defeat the will ank intent
of Congress, In enacting Section 4 of the Clayton
Act (15 U.S.C. 15). which provides in part that
‘any person Who shall be injured in his business
or property by reason of wy thing foriidden.in the
antitrust Jaws may sue therefor... and shall re-
cover threefold the damaces . 2. 0°: Coneiress: in-
tended that such private suits would supplement

wad bolster the antitrust: enforcement efforts of

government prosecution. This Coteressionak pur

prose has heen recognized In\ the Supe mie Court in

Lawler vo Nattonal Nereon Ne rreec, wherein the

Court, holding that the chreunistamecs of that ease

did not bar the actron as ces judteata, stated »

| ‘Particularly is this sein view of the prub-
lie interest in Vigilant enforcement of the anti
trust laws through the disteanmentilify ot the
private damage action.’

“EP has, aur \ ew, the secretion) ob ev tdetiec bor

The purpose of frustrating pessible treble dariage
plaitilts would be (+) )} osed ton Uda povalotn Lhiterrerst

anid the clearly “expressed WaT ot Capen ~~) Obtpp aed

”-

. |
: .
‘ ,*

‘ . : Sie
forts should hier clineateal ‘tee cenebanin, root bata ‘Tihs,
private enforcement of the guttirust laws. (os
PLLC. at Liss tise)

The Antitrust: Division itself has recotniZed the
Heel for prgservine the avathyality of ewan tits for,

; tse 1 plaimtitts ith private Geetbetis whieh Lille oc .
2 erijure nt suits, T lus. inf wehe df Norte N.t', bhavs pera Row
Publishers,’ luc, aud Lie Lateat C'atme s, No. OF Col

threeuch oF E ND TH New, 2ay Peey, vaniqenabelisds
ed) the Ds trict (ont rite red ry ‘onkes itheut oh ee

.

* tion freon the Mititrs 1 ‘Lys Dstt Cte

.

1s : re. a
es “that iis tn the ayourbsli inte Pett that these
alee hie aig raul juny SLO a hits, and a he itu puny
Testimony Ie Mdentitiohle ginko preserved aad re
titin tecether for possible tse 11h Chiewe troll clint

“ae det denis.

“The Court Chieti Sredeny ik thie’ chen Vibtietits ay Hittin it
the custody of dota by Sarbhuch, Chiet of the Mid
West Of five ad the Antitrus t this ert, poli tyet hes

meg ordér BE the € jurt, :

. * f
o .

z wee. ¢ ‘Autitrist flauddbogi,. coobeapetly nT thy the \nith
: ie i. ; ‘ ; Me
trupt Pave haem Uda ‘hodenad Site Capnberetes

avn
Antifrtiet Maoblonis CPO) tidieates that ihe

Dy ds teony
. , . .

. " : ’¢ ,.
stthiseribes te the conerpt ol precers tie evtdotioe carne

Hh its eee, Lhe TILIA tpldertes Tbeetn thie dtinte itietat aol

this Count itt meni tary Wii ti ued vn “.

nilhaluming .

wu New Jetacn Dd Biatshens (ww i) Per, weebeeerine
ine a, sreepitatt wal 1 aden tihivetets ges cotthers owncdePiee.
‘The Hand ot, thi ti otiites ‘ aghs

‘ \

*

-

: .
" . , Z . oun PAD :
-~*

* * 3

aad .

"The j eran state Hraeerit +t fean Mine i sti Mining
and. Miinutactariin) Roe rred te leleral - Trade

*,

©: CHES sea we tones, hunt the min esany bee Lachout

Th paubtis at wl Wis tree wetions. The jJasjnith rr

Set nee emsarily Politais Abie relevant des Auiuie Lils jin

ii result of thr: lederal duet terds, lanat tier lear aye 0 thieat

Je tstenee ane identity atid havi, Mdyat ty “cok
Srey bier 0 sorts ter chiscevens ‘ pricncanebin [ diserens

ens dis due sibaaye Artie bys Scud, Vays ibiak ay pened itis

: corelet . niider White by beet tt: aliseae bath toy otha

ot ‘edeval Governniont are not directly relies 1eit

‘, “thi ale tedicnets Paertin Whieetiee thers warns Tiberi real

7 This presents thert dispersal or ade mane hin aul -

Ubicvny: whieh the elite ph TI aie ee titled’ tir edge
veer rid. be obtained Lreonys HoeentryaPaetum Mare os
(Vatitras! Baal , fic faye a,
The HMecwdlbice itlsed Poets a thasit . thas itespconsdoed tty
eyeder ane conte ee PULP pe hencebrins Wil beollesWaab gay

‘the Harper al i ha tT ist 7 42) ‘ i itesel jitservea

P * ° i 7® ’ .
A p ; ; :
hi the itastient HEGEL TOD, ttgemtertede ke cet thy Gaeta’
. ‘ ‘5 , , “* Ps ‘
frostannelty “thi emvacb earn Hi er behetues tt | Vitae 41
ville lee sepeyee Thanet il tte tied As Llier pergvanes
* ‘¢ ¢ « . o 7 . .
LAUDE ds tee fee Beteteet thee ‘ry litewte oof periaae
Lit tsccinits sae : .
ray oy 6 ’
r
. .
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* . Ld e
. ° ° °
’
. * - *
.
eo ° . 4 ’
im. ,
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° .
° ’

. ; a)

IV. THE CONSENT DECREE ENTERED BELOW. js
|. | NOT IN. THE PUBLIC INTEREST

[A. Introduction.

’
thy, rar iy a*t 4 . tj \!
o ne ’
ba'bieditds “EPP et be
Lott- ‘Ot Ulte-teanedtistey tava. pe ’
Ae . ¥
drei lean unl Carl ' \
tti 1 i} *- ‘
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ber aS gh TL
Chayesveb- burst rt 4 ’ :
; :
ete) “ :
ei Me
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4
Bosnetite Ol ihhe \ Gtree@iit b% Ves
P fad, } “ ’
7 Aw '
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\ ty
P » \
4
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7.
1 « *
*- a " s ;
- i . °
| B« y
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\

at
~

\t pace P') ast thie NPerriconcetiebeariy ca dans ly ‘hs (ends
Apyoeties ~ fihabin the Ltn Cotteto a vuthe pied
stisletipeait, as taweste Te Hpligete ae

. i ,

bes 1 dae pret at ternsen™ boob pdate t Veneta bh sated ut
cle trendline ay petalolys trial ine this eins ajipcur t
heedlots of the Niahing efleer ot a xtenuled lit
haere? ony thie eaenetatbinie fayts hee Pendle Gab, yi
them. )

+ % ; > .

Wie de bhitialy cou lyt thisat in i, uo trial wend hry

thi el hort ty) wedtuee aint peedtitiens Ce rtaa thie)

Werbthd ties! digave
‘ ‘
Apepwrlion thie y
ebeeds eel eh

.

prdettec Ute haps pene

ees event. the wed

+ ie PMA T Pecans

pertiss an they bimttos

- Edt pecil Decor bat-asl 1}
thy. atteany ctlenle” Vi Lebetbel ita '
tase shaving saved thie
thie Pheewy- fade tas be patertaud

eit caate | é ars

Co havten Net he

bd -

e*] ae ;
en at Er
thy Pear dye my too thee RAD ABET : 57 Prey
TORU TTI Nat onl * seat P| : . “54 : ire
»= ; f . ¥ an

,

dey Tan thin: Hatheralet te 1. Vie Lich tist ‘ ttl

—
=
-
-
-

5

ae
~
al

\ , C. The Statutory Policy Arg
J \. Defendants appellees argued s¢ Mermorandnam, po 20,
“aN seu, } thiset the SHILULOny. poles fivars consent ile

CHVCES, We think it ilows- tot, aT Piet Hl of this. ‘Sarge tien,

Ville hits ‘audits a ) threat thy iY aed dens wentla shel th ehlorge
bvett of thn Ne The reitsen ler thi ee fede uvi

denen! prParN dm deat teaid thienn ih thus e'| Font, Codisent

Teerees. Whereas thes have utility in semie eases, are

bins bieein Liaivared ii> “SLAP polices, :

Theres nething i the haw whieh requires a court
foappreaye a deerer just Heegtise the de le nelanits have

eedisegited teat. Fl there Were sl serie ol the cus prerraet

’ Phi beer Veritven i Hel iiatters went not have. been
(decided li Hort, We contend that a the 1 lof.
Thies cans ont Hielonent gs tet qa the |? miblte Hiterest be
a eatin a wall Correale tg nse a the pei er ee so

“denen elan (’. thaeay 1 hicotalel lv al! ppreveal con
‘pletely

thi (eet tated 11} l ited Slules Nlandavd 3

‘
/ framering td Color ¢ rie Peed, i | ea [tty /

SDNY. 1065)8°.. , le wo
f :

a TT vpolators pias es phate then Wrong doing i)
pan\ tients sf Perko ty ttn bh ewe pt ips ti ir
verhual’ linye one the WEtAt. anil TRA nyt thy:
Friiprbe hel oes NW theca powerlul: deterrent fo lav
violation, has been renal’

nit 4 xo ’
i”

ihaves 4 have shows that” the SLatiitors policy At ens
J rPesse «| i thy 4 counts itti ly & one loss is la Aa al per *,

an

pe
: 7 .
= e
2
*
: Pp }
As

'
oh

' DD: The Interest of Amici IS the Public Interest!
Preotenderite appellees stiscested at parce Obed the”
Moastivorsetiebianas treat thy OehEEN bd beet oe % Wiis tt
Purtiien: them owal datas ecaetivnis, and that this os
rot su@in bent: Pdi Clouinits aul ha Pointe ‘ seat 1!
terested qemarity. bee cbhsabiicngee We daavs pear :
Spotetbilitie un poualolin Uveaadtdy aeneliny atin pa 4 hand

trol Ns showte anethas baat. these oe rire

Hhile beste prbartaat ity tai Vhorent) Trudeas tl <a Te

. 2 ¥ sane : i 2

The baat ‘i al beibde hy } ae ad i i4 te Ay +} :* ‘ {}
-4nitties whe Wele pariittted t nlorveme -

Nut (aetn f tie. ae Ci . \ dicts 4 si tN]

re bth, air bic cult de Gensel pra ; rae :
of is * .
peter can eelib ode “peeeny peaeeady- ° G vagy 1 1! 7 set 44
hiccelthy avec tutarts i pee ative ty hi ir ‘* mE
»
strieted: by thi neti Tale te reditits avg
1), tenet) A jojuctles nmeotead Vie Via 4
Cileew wits ATS Tiel weeltine eee ‘
‘curtain deersions. Phe tact is thatifhioae.. +)
lente st oN pre Th wf thi ( j ie -
ls strove teal Uhhat thy chews \ - \\ |
- @- Tn ;
this die bivel a\ \ ty th.
; 1 *
1s triet~ the ligstodany ii mAlT -
: ;
@
.

«

ob ;
E. Adequate Representation by The Depart-
ment of Justice. . —- ‘i
Dye tonelaant appellee asserted that aur Miterests
Were gee uite’ls Perprne ented by Thee getvernienit, Pty
oly beth rewr thhe case Whietr bars permatied interven,
Them iat this ds thet te Pe gissnined. Dhbe coov ernment
hha “denienstrated Little Qutenest toads polities contpal
In this ease, Qur interests are ‘uel broader than in. -
fenjoihine the continuation eta cominiation whieh dia
meri k prsead vv PONE | tense Vo otrralcel tha wil “ Werth
have: trae tan Peebles eb beets diaper the Gatinre getters
ot this inelu brs canned at othe ineltris Stee irl .
“ il aetions bivseal Uprta e | oral Ti ee a the
yeverninent Wotfld have been even more etlect ya . on
iol he nitincl la picrwy — bode denn’ thi Comet hice THEY ani)
bites 1 ove pepeheaetyay The prod Ee Ot ee Whosee :
health has heen “atic 4 qiy Pesanlt oko gan pollition
PY net this thie perbotie teate rest were One rant hinted: .
Jwhiw js HWustrated b Hie righed of petitions gandoob
fea dpes that were bileedss th the Dstraet ¢ birt ae

FP

"SUMMARY OF ARGUMENT | ©
i -

_ THE CONSENT JUDGMENT FRUSTRATES ACCE: SS
TO THE FACTS OF THE ALLEGED CONSPIRACY.

‘has decree ehtabed div Ha Phistene t Court Ml beehivel
; revedit ee Ott diner iteriotis aegetiss eel Ghetto
, bbe efiriny this J bornict ions thie bevel 14 levied gene

prove the Laue t~ oo] thie nlleoed qerhi | Pica “ht 1 biel si]

corbin thiaat thromeh ‘disee vers prroeediy sanwil oy
Thetis, private iti hits could discayor these tact Wi
Hessers Wl] have dhedoor torgetter dei. ol i iT ‘tt
lites atte VV tL verre dive passe Eyer

i digatteen nl vacdnieel cid boom gas sere oval

HAE N 4 thie Poets neverthel itt dn

. a ,

THE: DECREE FAILS TO PROVIDE SAFEGUARDS

. NECESSARY TO PROMOTE THE CONGRESSION

AL PURPOSF. OF ASSISTING INDIVIDUAL LIT!
GANTS.

Phie dana preven dele tent

Bae ala lil

é
iN ; rervetda ota petrut the

tho ve. hi well 41a tedperd deed j
eh the attateust law riniv baeees ; ly
hey nt the haw, in faet: that: private. oifor
"gf elt i\eecidbed detepreny | ]
» thst ban Phe ruterest at Coie

i'l conibeppat yen hy) thy

*b,°
. ob

Stich Suits cure nite: See dit tierlt cane e\petisive that

they ecitiot he sHeeess tilly prosceuted

-
.

Phe consent qitdeaient aethis Jf he been’
pel tree heteve OV tdleniee ot the caene. "est Via the
Insertion of jan asphatt elause move ds precederut
Jor “uel, provisions, aad’ thes Would previde neah-

pemaltios Het peresetit ine the eomesent prekucrevegt

I hie Saapantan colloeled-aaet several Vegi OF TMV est
vattion bs the 4 tited Riates will he eHtally lost teh
lune thes transeripts and oc unient Libe revealed Nn
that the deevoe bisus Loeeeny fesivat, Comite nat reaced. doe
placed out Ob pegeh al pilot roeredh cele! private With
wants whe Peeptine thee Att orden too dtipetned garb te
reveletheorn oration collected wetilel perenne nt the 1

co ae ul
THE CONSENT DECREE ENTERED BELOW 4s Nor
IN THE. PUBLIC INTEREST.

6

AS eted. th eerbisenet cheats Gill: aye he of foot
he erties peretie \ oes val Neen steers ‘ chicl dae
breeds hometenyey Telit purrs “. The re hora od
th istedotremd veote thee abee bichon! ape aitlen hah aiN ‘el
Pea ae pattie teal are tha Peat Ty whol cibite] | Len

mit TOT Ta ene elie Vai tered teddy ial ili

Hin (' Te ede ee bperd bapenty Phi ee WWartgled bhai (+ Theat, j 7,

Pore perev gate: hinting Ge thea Chat wrbel pet aad rar wil

reeldy Tee Jbetegbered parody | f radet ‘ phivate

elit Wy t ' bie Adued tan ty wt Tit vn asi ae hind
te

\ _ . a p
87 =,
* 7 ; ; : ax x . : : : ~ Ss .
beaters coin plngnied With Vie canntitenst jays. Vo fvortun
2 ately the ddistey as ney Protpeted frome both’ a public
trol suniel thi ay ee bake be a \otade dye :* paren i heed ur} Sor
tien wut the es - Tarn Aol ito LOS. Ss ‘ Pin CV dbee ede
‘ ‘oeren ebbeetivels sihet ions Jo eonspiraves that lak saved,
‘the dedustey. Wiens of cteoblon While eostin the poublis
aeaneit that Hey reves le po Niles tee eletorntin
, : I : ve . . : * a
| any fa CONCLUSION
oe The Coibity ol Las. Wren “yee the” bia \ii wl
Ceotity Ane bsstivat ton Toomtrel District, aarti dierein,
a Pirtridy eon Hood that thy Comsemt decree. entered
em bn baw Vantiadhs Lit leew, dyna that thy hima nnn bier
-. fp mor tee tena With appellawt, o tid perhay other
7 ats. partis jhaenatiee. -
* We fool that Mh cles Pee itselt. the eli rinse nettiy
bade tl, aunnel thas Tah pee ities mn hie Potted Stiutia ta,
“the Varnen ep Theat bony nein ren beefoow dl chenon’
trate that the pabh iiterest hijis. tet heed protected
lta omer beohinny Chiat the avititrist pooh ok tha =e]
‘ rail Caeivs rinient .shevld m bheet trrhine 7 mob Vie cal
; | lateral effect: uf Medstedal. Gomepapiedes Pn this pe
Pheri eae thee corecaet dheeven, what sieret hho
eed prabien “Homidd . thi oven nts uy
N , polevnnyt ww dreads ! Heone th riyesds é biveedir sata’ | ahie ot
z -" environmental deteridratios pbeeh Pee etd pada hor Obie
; ; he ;
; “Be quote, fron: Che. Dariseiotion iP isigvenit Tile
ly sbpeyhi Hlavayt Wy al Ne Vor - 4) rin » Tey?

a
“38
ha PrePodiire Potlowed iy thn clistrvet court ;
: Mitlses Nuestions ot fb eitielttamenataa Pre peor tation: rhe thee
a MULLS EO gut bet of the scatiterst daws. Phese ques
Llodtis, \\ dane ly ieee oe ditin iit dae thy A are Sen tesnt,
; should lige he solved beoldoow inn baat] brie hae ani aur.
. mitment. Sphee the Canty s riot tee ditervene ede
a) *
proaiels tiypea the resolution ot the other issues pre
a) , E sented dieorebeg stroll bara Hitered joe Tyoonubriy ony
Wlenation at The gpiestion ef jurisdietion tnitil the
- learn at thesease om thir dmerits. Nea Boe Pab
heii ( the pF ; ited. Nhat, y. tein‘ 4 Gs. =
(dni!) th thre Was eg wotiprhets Jit tice fe sairedt ln
as ceyent, the feat ot the oder iivestigation must
» tat be Jost, hor dthes are qrreplaeeibles
he spaee mr uikly Simitied:
: : : * aa 2 pag Ne a : é y
‘ 5 FOUN PO MATEARG
- . , 3 ¢ oliiity 4 ofttise! °
, roy - i
ts . ad - . Tr ’ - t
? OA OTIN TE LARSON
‘ : : < t F .
. ( Ivey. \serstint Compt, @oupsed
“ ; y .
PAN TID OMEN,
\esistant Cont. Comnse|
3! P
TRAVERS DO Wed,
Deport y County ( etapsed sae
"Alone WS tor Lmrer. 3
. a em
j NL

---

Source: Frix Law Library, https://www.frixlaw.com/law-library/documents/brief%3Amicro_IA40385001_1406%3A04. Public record. Not legal advice.
