Antitrust Law Daily Wrap Up, WORTH NOTING—Other Antitrust and Trade Regulation developments, (Nov 18, 2015)
Organizations Mentioned:Draftkings, Inc. | FanDuel | Nestlé Canada Inc., ITWAL Ltd., Mars Canada Inc. DraftKings, Inc., FanDuel Inc.
A periodic roundup of other items of interest to the Antitrust and Trade Regulation community:
ANTITRUST NEWS: Canada’s pursuit of price fixing allegations against chocolate makers has ended. The Canada Competition Bureau announced today that the Public Prosecution Service of Canada (PPSC) has entered a stay of proceedings in the price fixing case against Nestlé Canada Inc. and former Nestle executive Robert Leonidas. In September, the PPSC entered a similar stay of proceedings against ITWAL Ltd., Mars Canada Inc., and two former company executives, Sandra Martinez and David Glenn Stevens. The charges stem from an investigation launched in July 2007, which uncovered evidence that the three companies and three executives were allegedly involved in an agreement to fix the prices of chocolate confectionery products in Canada. As part of the same investigation, Hershey Canada Inc. pleaded guilty to a criminal charge of price fixing for chocolate confectionery products in Canada, and was fined $4 million.
CONSUMER PROTECTION NEWS: The FTC has amended its rules and regulations under the Fair Packaging and Labeling Act, legislation that allows consumers to obtain accurate package quantity information in order to enable value comparisons and to prevent unfair or deceptive packaging and labeling. According to the final rule, the amendments will: (1) modernize the place-of-business listing requirement; (2) incorporate a more comprehensive metric chart; (3) address the use of exponents with customary inch/pound measurements; (4) delete outdated prohibitions on retail price sales representations; and (5) acknowledge the role of the weights-and-measures laws of individual states. The amendments will take effect on December 17, 2015. The final rule is published at 80 Federal Register 71686, November 17, 2015.
STATE UNFAIR TRADE PRACTICES NEWS: Less than one week after the issuance of cease-and-desist letters by New York Attorney General Eric Schneiderman against DraftKings and FanDuel, ordering both companies to immediately stop accepting wagers inside New York, the state has filed a complaint in New York State Supreme Court in the County of New York, seeking a preliminary injunction against the daily fantasy sports websites. Among the causes of action were allegations of violations of General Business Law § 349, which prohibits deceptive acts and practices, and General Business Law § 350, which prohibits false advertising.
Companies: Nestlé Canada Inc., ITWAL Ltd., Mars Canada Inc. DraftKings, Inc., FanDuel Inc.
News: Advertising Antitrust ConsumerProtection StateUnfairTradePractices FederalTradeCommissionNews NewYorkNews