{"id":1837,"date":"2021-10-25T03:53:49","date_gmt":"2021-10-25T03:53:49","guid":{"rendered":"https:\/\/crowdsourcelawyers.com\/judicial-council-california-civil-jury-instructions-caci\/?page_id=1837"},"modified":"2022-05-09T16:22:10","modified_gmt":"2022-05-09T16:22:10","slug":"caci-3403-horizontal-restraints-use-for-direct-competitors-group-boycott-per-se-violation-essential-factual-elements","status":"publish","type":"page","link":"https:\/\/crowdsourcelawyers.com\/judicial-council-california-civil-jury-instructions-caci\/caci-3403-horizontal-restraints-use-for-direct-competitors-group-boycott-per-se-violation-essential-factual-elements\/","title":{"rendered":"CACI 3403 Horizontal Restraints (Use for Direct Competitors)\u2014Group Boycott\u2014Per Se Violation\u2014Essential Factual Elements"},"content":{"rendered":"\n<style type=\"text\/css\" data-created_by=\"avia_inline_auto\" id=\"style-css-av-kv13ugj6-16fde76ab031dbd4221ea0a248d460a7\">\n#top .av-special-heading.av-kv13ugj6-16fde76ab031dbd4221ea0a248d460a7{\npadding-bottom:10px;\n}\nbody .av-special-heading.av-kv13ugj6-16fde76ab031dbd4221ea0a248d460a7 .av-special-heading-tag .heading-char{\nfont-size:25px;\n}\n.av-special-heading.av-kv13ugj6-16fde76ab031dbd4221ea0a248d460a7 .av-subheading{\nfont-size:15px;\n}\n<\/style>\n<div  class='av-special-heading av-kv13ugj6-16fde76ab031dbd4221ea0a248d460a7 av-special-heading-h1 blockquote modern-quote  avia-builder-el-0  el_before_av_hr  avia-builder-el-first '><h1 class='av-special-heading-tag '  itemprop=\"headline\"  >CACI 3403 Horizontal Restraints (Use for Direct Competitors)\u2014Group Boycott\u2014Per Se Violation\u2014Essential Factual Elements<\/h1><div class='av-subheading av-subheading_below'><p>California Civil Jury Instructions CACI<\/p>\n<\/div><div class=\"special-heading-border\"><div class=\"special-heading-inner-border\"><\/div><\/div><\/div>\n<div  class='hr av-av_hr-91d7ccd583a503147498e120fee2ff9b hr-default  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class='av_textblock_section av-av_textblock-e878f05c31dff72941bf1e49a00d9ff5 '   itemscope=\"itemscope\" itemtype=\"https:\/\/schema.org\/CreativeWork\" ><div class='avia_textblock'  itemprop=\"text\" ><ul>\n<li><a href=\"https:\/\/crowdsourcelawyers.com\/judicial-council-california-civil-jury-instructions-caci\/\">CACI Jury Instructions Index<\/a><\/li>\n<li><a href=\"https:\/\/caci-fillable-forms.crowdsourcelawyers.com\/\">App: CACI Jury Instructions Fillable Forms Word Format<\/a><\/li>\n<\/ul>\n<\/div><\/section>\n<div  class='hr av-av_hr-91d7ccd583a503147498e120fee2ff9b hr-default  avia-builder-el-4  el_after_av_textblock  el_before_av_textblock '><span class='hr-inner '><span class=\"hr-inner-style\"><\/span><\/span><\/div>\n\n<style type=\"text\/css\" data-created_by=\"avia_inline_auto\" id=\"style-css-av-kv13vws1-665440f8276e0ee34b842e90dc53b3f6\">\n#top .av_textblock_section.av-kv13vws1-665440f8276e0ee34b842e90dc53b3f6 .avia_textblock{\nfont-size:20px;\n}\n<\/style>\n<section  class='av_textblock_section av-kv13vws1-665440f8276e0ee34b842e90dc53b3f6 '   itemscope=\"itemscope\" itemtype=\"https:\/\/schema.org\/CreativeWork\" ><div class='avia_textblock'  itemprop=\"text\" ><h2 class=\"SS_Banner\">3403\u00a0Horizontal Restraints (Use for Direct Competitors)\u2014Group Boycott\u2014Per Se Violation\u2014Essential Factual Elements<\/h2>\n<hr \/>\n<p><span class=\"SS_bf\" data-housestyle=\"EMPHASIS_bf\">[<\/span><span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">Name of plaintiff<\/span><span class=\"SS_bf\" data-housestyle=\"EMPHASIS_bf\">] claims that [<\/span><span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">name of defendant<\/span><span class=\"SS_bf\" data-housestyle=\"EMPHASIS_bf\">] agreed not to deal with [him\/her\/<\/span><span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">nonbinary pronoun<\/span><span class=\"SS_bf\" data-housestyle=\"EMPHASIS_bf\">\/it] [or to deal with [him\/her\/<\/span><span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">nonbinary pronoun<\/span><span class=\"SS_bf\" data-housestyle=\"EMPHASIS_bf\">\/it] only on specified terms]. To establish this claim, [<\/span><span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">name of plaintiff<\/span><span class=\"SS_bf\" data-housestyle=\"EMPHASIS_bf\">] must prove all of the following:<\/span><\/p>\n<p><span class=\"SS_ListLabel\"><span class=\"SS_bf\" data-housestyle=\"EMPHASIS_bf\">1.<\/span><\/span><span class=\"SS_ListItemContent\"><span class=\"SS_bf\" data-housestyle=\"EMPHASIS_bf\">That [<\/span><span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">name of defendant<\/span><span class=\"SS_bf\" data-housestyle=\"EMPHASIS_bf\">] [and [<\/span><span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">name of alleged coparticipant[s]<\/span><span class=\"SS_bf\" data-housestyle=\"EMPHASIS_bf\">]] agreed to [<\/span><span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">specify claimed refusal to deal, e.g., \u201crefuse to sell to [name of plaintiff]\u201d<\/span><span class=\"SS_bf\" data-housestyle=\"EMPHASIS_bf\">];<\/span><\/span><\/p>\n<p><span class=\"SS_ListLabel\"><span class=\"SS_bf\" data-housestyle=\"EMPHASIS_bf\">2.<\/span><\/span><span class=\"SS_ListItemContent\"><span class=\"SS_bf\" data-housestyle=\"EMPHASIS_bf\">That [<\/span><span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">name of plaintiff<\/span><span class=\"SS_bf\" data-housestyle=\"EMPHASIS_bf\">] was harmed; and<\/span><\/span><\/p>\n<p><span class=\"SS_ListLabel\"><span class=\"SS_bf\" data-housestyle=\"EMPHASIS_bf\">3.<\/span><\/span><span class=\"SS_ListItemContent\"><span class=\"SS_bf\" data-housestyle=\"EMPHASIS_bf\">That [<\/span><span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">name of defendant<\/span><span class=\"SS_bf\" data-housestyle=\"EMPHASIS_bf\">]\u2019s conduct was a substantial factor in causing [<\/span><span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">name of plaintiff<\/span><span class=\"SS_bf\" data-housestyle=\"EMPHASIS_bf\">]\u2019s harm. <br class=\"avia-permanent-lb\" \/><br class=\"avia-permanent-lb\" \/><\/span><\/span><\/p>\n<hr \/>\n<div class=\"SS_Note\">\n<h2 class=\"SS_HideShowSection SS_Expandable\"><\/h2>\n<div id=\"TRNotes_n_1\">\n<p><span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">New September 2003 <br class=\"avia-permanent-lb\" \/><br class=\"avia-permanent-lb\" \/><\/span><\/p>\n<hr \/>\n<p><a href=\"https:\/\/crowdsourcelawyers.com\/\">Crowdsource Lawyers<\/a><\/p>\n<p><a href=\"https:\/\/crowdsourcelawyers.com\/judicial-council-california-civil-jury-instructions-caci\">https:\/\/crowdsourcelawyers.com\/judicial-council-california-civil-jury-instructions-caci<\/a><span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\"><br class=\"avia-permanent-lb\" \/><\/span><\/p>\n<hr \/>\n<\/div>\n<\/div>\n<div class=\"SS_Note\">\n<h2 class=\"SS_HideShowSection SS_Expandable\">Directions for Use<\/h2>\n<div id=\"TRNotes_n_2\">\n<p>This instruction applies to agreements between competitors that are directly intended to affect competition facing them. In determining whether to give this per se instruction or the rule of reason instructions, it is important whether the challenged combination was horizontal (between competitors), vertical (between sellers and buyers), or some combination of the two. Horizontal combinations are subject to per se instructions; vertical combinations to the rule of reason instructions. Those combinations falling in between must be carefully scrutinized to determine whether their principal purpose is to restrain competition between competitors or to downstream resellers by the seller. <br class=\"avia-permanent-lb\" \/><br class=\"avia-permanent-lb\" \/><\/p>\n<hr \/>\n<\/div>\n<\/div>\n<div class=\"SS_Note\">\n<h2 class=\"SS_HideShowSection SS_Expandable\">Sources and Authority<\/h2>\n<div id=\"TRNotes_n_3\">\n<p><span class=\"SS_ListLabel\">\u2022<\/span><span class=\"SS_ListItemContent\">Trusts Unlawful and Void.\u00a0Business and Professions Code section 16726.<\/span><\/p>\n<p><span class=\"SS_ListLabel\">\u2022<\/span><span class=\"SS_ListItemContent\">\u201cTrust\u201d Defined.\u00a0Business and Professions Code section 16720(c).<\/span><\/p>\n<p><span class=\"SS_ListLabel\">\u2022<\/span><span class=\"SS_ListItemContent\">\u201cThe antitrust laws do not preclude a party from unilaterally determining the parties with which, or the terms on which, it will transact business. However, it is a violation of the antitrust laws for a group of competitors with separate and independent economic interests, or a single competitor with sufficient leverage, to force another to boycott a competitor at the same level of distribution.\u201d (<span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">Freeman v. San Diego Assn. of Realtors<\/span>\u00a0(1999) 77 Cal.App.4th 171, 195 [91 Cal.Rptr.2d 534], internal citation omitted.)<\/span><\/p>\n<p><span class=\"SS_ListLabel\">\u2022<\/span><span class=\"SS_ListItemContent\">\u201cIt is well settled that the antitrust laws do not preclude a trader from unilaterally determining the parties with whom it will deal and the terms on which it will transact business. An antitrust case must be based upon conspiratorial rather than unilateral conduct. Thus, only group boycotts are unlawful under the Sherman and Cartwright Acts.\u201d (<span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">G.H.I.I. v. MTS, Inc.<\/span>\u00a0(1983) 147 Cal.App.3d 256, 267\u2013268 [195 Cal.Rptr. 211], internal citations omitted.)<\/span><\/p>\n<p><span class=\"SS_ListLabel\">\u2022<\/span><span class=\"SS_ListItemContent\">\u201c\u2009\u2018Group boycotts, or concerted refusals by traders to deal with other traders, have long been held to be in the forbidden category. They have not been saved by allegations that they were reasonable in the specific circumstances, nor by a failure to show that they \u201cfixed or regulated prices, parcelled out or limited production, or brought about a deterioration in quality.\u201d Even when they operated to lower prices or temporarily to stimulate competition they were banned. For \u2026 such agreements, no less than those to fix minimum prices, cripple the freedom of traders and thereby restrain their ability to sell in accordance with their own judgment.\u2019\u2009\u201d (<span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">Oakland-Alameda County Builders\u2019 Exchange v. F. P. Lathrop Construction Co.<\/span>\u00a0(1971) 4 Cal.3d 354, 365 [93 Cal.Rptr. 602, 482 P.2d 226], internal citations omitted.)<\/span><\/p>\n<p><span class=\"SS_ListLabel\">\u2022<\/span><span class=\"SS_ListItemContent\">\u201cThe Cartwright Act, like the Sherman Act, prohibits \u2018combinations\u2019 for the purpose of restraining trade. \u2018[A] combination means a concert of action by individuals or entities maintaining separate and independent interests.\u2019\u2009\u201d (<span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">Roth v. Rhodes<\/span>\u00a0(1994) 25 Cal.App.4th 530, 543 [30 Cal.Rptr.2d 706], internal citations omitted.)<\/span><\/p>\n<p><span class=\"SS_ListLabel\">\u2022<\/span><span class=\"SS_ListItemContent\">\u201c\u2009\u2018[T]there are certain agreements or practices which because of their pernicious effect on competition and lack of any redeeming virtue are conclusively presumed to be unreasonable and therefore illegal without elaborate inquiry as to the precise harm they have caused or the business excuse for their use.\u2019 Among these per se violations is the concerted refusal to deal with other traders, or, as it is often called, the group boycott.\u201d (<span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">Marin County Bd. of Realtors v. Palsson<\/span>\u00a0(1976) 16 Cal.3d 920, 930\u2013931 [130 Cal.Rptr. 1, 549 P.2d 833], internal citation omitted.)<\/span><\/p>\n<p><span class=\"SS_ListLabel\">\u2022<\/span><span class=\"SS_ListItemContent\">In\u00a0<span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">Marin County Bd. of Realtors, supra<\/span><span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">,<\/span>\u00a0the Supreme Court explained that there is a distinction between \u201cdirect boycotts aimed at coercing parties to adopt noncompetitive practices and indirect boycotts which result in refusals to deal only as a by-product of the agreement.\u201d (<span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">Marin County Bd. of Realtors, supra,<\/span>\u00a016 Cal.3d at p. 932.)<\/span><\/p>\n<p><span class=\"SS_ListLabel\">\u2022<\/span><span class=\"SS_ListItemContent\">Not all group boycotts are evaluated as per se violations: \u201cThis limitation on the per se rule is particularly applicable to trade association agreements not directly aimed at coercing third parties and eliminating competitors. In cases involving such agreements, courts have generally applied the rule of reason test.\u201d (<span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">Marin County Bd. of Realtors, supra,<\/span>\u00a016 Cal.3d at p. 932.)<\/span><\/p>\n<p><span class=\"SS_ListLabel\">\u2022<\/span><span class=\"SS_ListItemContent\">\u201cThe alleged antitrust violation need not be the sole or controlling cause of the injury in order to establish proximate cause, but only need be a substantial factor in bringing about the injury.\u201d (<span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">Saxer v. Philip Morris, Inc.<\/span>\u00a0(1975) 54 Cal.App.3d 7, 23 [126 Cal.Rptr. 327], internal citation omitted.)<\/span><\/p>\n<p><span class=\"SS_ListLabel\">\u2022<\/span><span class=\"SS_ListItemContent\">\u201cThe plaintiff in a Cartwright Act proceeding must show that an antitrust violation was the proximate cause of his injuries. The frequently stated \u2018standing to sue\u2019 requirement is merely a rule that an action for violation of the antitrust laws may be maintained only by a party within the \u2018target area\u2019 of the antitrust violation, and not by one incidentally injured thereby. An \u2018antitrust injury\u2019 must be proved; that is, the type of injury the antitrust laws were intended to prevent, and which flows from the invidious conduct which renders defendants\u2019 acts unlawful. Finally, a plaintiff must show an injury within the area of the economy that is endangered by a breakdown of competitive conditions.\u201d (<span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">Kolling v. Dow Jones &amp; Co.<\/span>\u00a0(1982) 137 Cal.App.3d 709, 723\u2013724 [187 Cal.Rptr. 797], internal citations and footnote omitted.)<\/span><\/p>\n<p><span class=\"SS_ListLabel\">\u2022<\/span><span class=\"SS_ListItemContent\">\u201cThe exact parameters of \u2018antitrust injury\u2019 under section 16750 have not yet been established through either court decisions or legislation.\u201d (<span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">Cellular Plus, Inc. v. Superior Court<\/span>\u00a0(1993) 14 Cal.App.4th 1224, 1234 [18 Cal.Rptr.2d 308].) <br class=\"avia-permanent-lb\" \/><br class=\"avia-permanent-lb\" \/><\/span><\/p>\n<hr \/>\n<\/div>\n<\/div>\n<h2 class=\"SS_Heading\"><span class=\"SS_bf\" data-housestyle=\"EMPHASIS_bf\"><span class=\"SS_ib\" data-housestyle=\"EMPHASIS_ib\">Secondary Sources<\/span><\/span><\/h2>\n<div>1 Witkin, Summary of California Law (11th ed. 2017) Contracts, \u00a7\u00a7\u2009602\u2013621<\/div>\n<div>6 Antitrust Laws and Trade Regulation, Ch. 105,\u00a0<span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">California<\/span>, \u00a7\u2009105.02[3] (Matthew Bender)<\/div>\n<div>3 Levy et al.,\u00a0California Torts, Ch. 40,\u00a0<span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">Fraud and Deceit and Other Business Torts<\/span>, \u00a7\u200940.168[5]\u00a0(Matthew Bender)<\/div>\n<div>49\u00a0California Forms of Pleading and Practice, Ch. 565,\u00a0<span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">Unfair Competition<\/span>, \u00a7\u2009565.77[5]\u00a0(Matthew Bender)<\/div>\n<div>1\u00a0Matthew Bender Practice Guide: California Unfair Competition and Business Torts, Ch. 5,\u00a0<span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">Antitrust<\/span>, 5.08,\u00a05.09[3],\u00a05.14<\/div>\n<div class=\"SS_Note\">\n<div id=\"TRNotes_n_3\"><\/div>\n<\/div>\n<\/div><\/section>\n<div  class='hr av-qrwhp-f1c4a6f1ede35c2a07a657190659a633 hr-default  avia-builder-el-6  el_after_av_textblock  el_before_av_textblock '><span class='hr-inner '><span class=\"hr-inner-style\"><\/span><\/span><\/div>\n\n<style type=\"text\/css\" data-created_by=\"avia_inline_auto\" id=\"style-css-av-5zxbdp-b7a7386d66ca37a0d5d905371c5ca46b\">\n#top .av_textblock_section.av-5zxbdp-b7a7386d66ca37a0d5d905371c5ca46b .avia_textblock{\nfont-size:22px;\n}\n<\/style>\n<section  class='av_textblock_section av-5zxbdp-b7a7386d66ca37a0d5d905371c5ca46b '   itemscope=\"itemscope\" itemtype=\"https:\/\/schema.org\/CreativeWork\" ><div class='avia_textblock'  itemprop=\"text\" ><p><a href=\"https:\/\/crowdsourcelawyers.com\/\">CrowdSourceLawyers.com<\/a><\/p>\n<\/div><\/section>\n","protected":false},"excerpt":{"rendered":"","protected":false},"author":3,"featured_media":0,"parent":0,"menu_order":0,"comment_status":"closed","ping_status":"closed","template":"","meta":{"footnotes":""},"class_list":["post-1837","page","type-page","status-publish","hentry"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.4 - 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