Administrative Law Judge Finds that Evidence Did Not Support FTC Allegations of Price-Fixing by McWane, Inc., but Evidence Did Show Monopolistic Practices

On May 8, a Federal Trade Commission Administrative Law Judge rejected FTC complaint counsel's allegations that McWane, Inc., a manufacturer of waterworks products, had engaged in price-fixing and unlawful information exchange. The FTC prevailed, however, on claims that McWane engaged in exclusionary conduct. To remedy the violations, Judge Chappell entered an order that forbids McWane from conditioning product availability or purchase terms on a customer's promise of exclusivity. The order also strictly limits the types of rebates and discounts that McWane may offer.