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US: What defines a ‘competitor’? SCOTUS could weigh-in

By  |  June 11, 2013

The US Supreme Court is set to meet next week to decide whether to hear a case that challenges a merger and, in doing so, looks to clarify the legal definition of a competitor specific to a “current” versus a “potential” competitor. The case stems from the Federal Trade Commission’s move to block a merger between two battery separator manufacturers after finding the two parties to be competitors, despite the fact one had not yet recorded sales in the market. The 11th US Circuit Court of Appeals sided with the FTC’s challenge the to deal, which saw Polypore International Inc acquiring Microporous Products LP; Microporous had not yet recorded any sales of automotive battery operators. Now Polypore is challenging that decision on the grounds that there needs to be clarification “on how to distinguish between mergers of current competitors and mergers of potential competitors. According to reports, the White House is looking to have Polypore’s petition to the Supreme Court denied. The Court will meet June 20.

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