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THE ANTITRUST LAWS

A BASIS FOR ECONOMIC FREEDOM

A STAFF REPORT

TO THE

ANTITRUST SUBCOMMITTEE

(Subcommittee No. 5)

OF THE
COMMITTEE ON THE WORD
HOUSE OF REPRESENTATIVES
EIGHTY-EIGHTH CONGRESS
SECOND SESSION

JUL 1965

VERSITY

2

PURSUANT TO

H. Res. 36
AUTHORIZING THE COMMITTEE ON NECU PLOHA DIVISION
CONDUCT STUDIES AND INVESTIGATIONS RELATING

TO CERTAIN MATTERS WITHIN ITS JURISDICTION

20

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Printed for the use of the Committee on the Judiciary

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For sale by the Superintendent of Documents, V.8. Government Printing Office

Washington, D.C., 20402 · Price 35 cents

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COMMITTEE ON THE JUDICIARY

EMANUEL CELLER, New York, Chairman MICHAEL A, FEIGHAN, Ohio

WILLIAM M. MCCULLOCH, Ohio FRANK CHELF, Kentucky

WILLIAM E. MILLER, New York EDWIN E. WILLIS, Louisiana

RICHARD H. POFF, Virginia PETER W. RODINO, JR., New Jersey

C WILLIAM C. CRAMER, Florida E. L. FORRESTER, Georgia

ARCH A. MOORE, JR., West Virginia BYRON G. ROGERS, Colorado

GEORGE MEADER, Michigan HAROLD D. DONOHUE, Massachusetts JOHN V. LINDSAY, New York JACK B. BROOKS, Texas

WILLIAM T. CAHILL, New Jersey WILLIAM M. TUCK, Virginia

GARNER E. SHRIVER, Kansas
ROBERT T. ASHMORE, South Carolina CLARK MACGREGOR, Minnesota
JOHN DOWDY, Texas

CHARLES MCC. MATHIAS, JB., Maryland
BASIL L. WHITENER, North Carolina JAMES E. BROMWELL, Iowa
ROLAND V. LIBONATI, Illinois

CARLETON J. KING, New York
HERMAN TOLL, Pennsylvania

PATRICK MINOR MARTIN, California
ROBERT W. KASTENMÉIER, Wisconsin
JACOB H. GILBERT, New York
JAMES C. CORMAN, California
WILLIAM L. ST. ONGE, Connecticut
GEORGE F. SENNER, JR., Arizona
DON EDWARDS, California',

BESS E. DICK, Staff Director
WILLIAM R. FOLEY, General Counsel

ANTITRUST SUBCOMMITTEE

SUBCOMMITTEE No. 5

EMANUEL CELLER, New York, Chairman
PETER W. RODINO, JR., New Jersey WILLIAM M. MCCULLOCH, Ohio
BYRON G. ROGERS, Colorado

WILLIAM E. MILLER, New York
HAROLD D. DONOHUE, Massachusetts GEORGE MEADER, Michigan
JACK B. BROOKS, Texas

WILLIAM C. CRAMER, Florida
HERMAN TOLL, Pennsylvania
ROBERT W. KASTENMEIER, Wisconsin

R. FREDERICK JETT, Counsel

II

FOREWORD

Pursuant to House Resolution 36, 88th Congress, the chairman of the Committee on the Judiciary appointed the following members to act as the Antitrust Subcommittee and to carry on the investigations and submit the reports authorized by this resolution: Emanuel Celler (New York), chairman; Peter W. Rodino, Jr. (New Jersey); Byron G. Rogers (Colorado); Harold D. Donohue (Massachusetts); Jack B. Brooks (Texas); Herman Toll (Pennsylvania); Robert W. Kastenmeier (Wisconsin); William M. McCulloch (Ohio); William E. Miller (New York); George Meader (Michigan); William C. Cramer (Florida).

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PUBLICATIONS OF THE ANTITRUST SUBCOMMITTEE

84TH CONGRESS

LEGISLATIVE HEARINGS AND REPORTS

Increase Antitrust Fine to $50,000. H. Rept. No. 70, February 23, 1955, on

H.R. 3659; Public Law 135, July 7, 1955. Government Action for Damages and Uniform Statute of Limitations. H. Rept.

No. 422, April 18, 1955, on H.R. 4954; Public Law 137, July 7, 1955. Bank Mergers. Hearings, Serial No. 7, July 5 and 6, 1955; H. Rept. No. 1417,

July 26, 1955, on H.R. 5948. Premerger Notification Amendment to Clayton Act. Hearings, Serial No. 15,

January 16, 18, 20, and 23, 1956; H. Rept. No. 1889, March 15, 1956, on

H.R. 9424. Limitation of Good Faith Defense in Robinson-Patman Act. Hearings, Serial

No. 21, April 18, 19, 20, and 26, 1956; H. Rept. No. 2202, May 24, 1956, on

H.R. 1840. Automobile Dealers Franchises. Hearings, Serial No. 26, July 2, 3, 9, and 10,

1956; H, Rept. No. 2850, July 20, 1956, on S. 3879; Public Law 1026, August 8, 1956.

INVESTIGATIVE HEARINGS AND REPORTS

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Current Antitrust Problems. Hearings, Serial No. 3, 3 vols., May 10, 11, 12,

13, 16, 17, 18, 23, 24, 25 ; June 6, 7, 8, 10, 13, 14, 15, 17, 1955. WOC's and Government Advisory Groups. Hearings, Serial No. 12, 4 vols.,

July 25, 26, 27, 29; August 4, 5, 10; October 25; November 2, 3, 4; December

7, 8, 9, 1955; July 26, 1956. The Merger Movement in the Textile Industry. Staff Report to Subcommittee

No. 5, August 1, 1955. Conflicts of Interests, Full-Time Government Employees. Hearings, Serial No.

14, October 26, 28, 31, 1955. The Business Advisory Council for the Department of Commerce. Interim Re

port of Antitrust Subcommittee (No. 5), December 12, 1955. Corporate and Bank Mergers. Interim Report of Antitrust Subcommittee, De

cember 27, 1955. Monopoly Problems in Regulated Industries--Airlines. Hearings, Serial No.

22, Part I, 4 vols., February 27, 29; March 1, 7, 8, 12, 14, 15, 21, 22, 28; May

2, 3, 4, 10, 11, 16, 17, 21, 23; June 6, 13, 14 and 15, 1956. Merger in a Regulated Industry (Louisville & Nashville RR.). A Staff Report,

March 30, 1956. Report of Antitrust Subcommittee (No. 5) on Activities of Peter A. Strobel,

April 10, 1956. Report of Antitrust Subcommittee on WOC's and Government Advisory Groups,

April 24, 1956. Monopoly Problems in Regulated Industries—Television: Hearings, Serial No.

22, Part II, 4 vols., June 27, 28; July 11, 12, 13; September 13, 14, 17, 18, 19,

20, 24, 25, 26 and 27, 1956. Judicial Doctrine of Primary Jurisdiction as Applied in Antitrust Suits. A

Staff Report to Subcommittee No. 5, October 15, 1956. Antitrust Problems in the Exploitation of Patents. A Staff Report to Sub

committee No. 5, October 15, 1956.

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