United States v. United States Gypsum Co.
United States Supreme Court
333 U.S. 364, 76 U.S.P.Q. 430 (1948)
- Written by Eric Miller, JD
Facts
United States Gypsum Co. (defendant) was the nation’s leading manufacturer of gypsum products, which were heavily used in construction projects. United States Gypsum also held the most significant patents in the field and granted licenses pursuant to these patents. Each license provided that United States Gypsum would set the minimum price at which licensees could sell the relevant products. The United States government (plaintiff) brought suit against United States Gypsum, five other corporations, and seven individuals, alleging a conspiracy to fix prices on gypsum products in violation of §§ 1 and 2 of the Sherman Act. The government’s case also included an attack on the validity of several of the patents. The district court granted United States Gypsum’s motion to dismiss, finding that the government had failed to meet its burden of showing a price-fixing conspiracy. The court also held that the government was estopped from challenging the validity of patents held by United States Gypsum. The case was appealed directly to the United States Supreme Court.
Rule of Law
Issue
Holding and Reasoning (Reed, J.)
Concurrence (Frankfurter, J.)
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