Scientific Apparatus Makers of America et al.

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IN THE 11ATTER OF SCIENTIFIC APPARATUS MAKERS OF AMERICA ET AL. MODIFIED CEASE AND DESIST ORDER Docket 3092. Order, March 2, 1945 Modified order, in accordance with four decrees below referred to, in proceeding in question, in which original order issued on August 25, 1941, 33 F. T. C. 1130, and in which the Circuit Court of Appeals for the 7th Circuit, on February 29. 1944, in Eugene Dietzgen Co. et al. v. Federal Trade Commission, 142 F. (2d) 321, 38 F. T. C. 840, rendered its opinion, and on l\Iay 3, 1944 modified the same on denial of rehearing, arid on May 22, 1944 entered four separate decrees by which the Cornmission's said ordet to cease and desist was, with respect to said petitioning respondent only, modified, affirmed, and enforced- Requiring said petitioning respondents, and their officers, etc., to cease and desist from entering into or carrying out any understanding, etc., to restrict, restrain, monopolize, hinder or suppress competition in the sale and distribution in commerce of prepared tracing papers, tracing cloths, drawing tools, and various other articles used by surveyors, engineers, builders, the drafting profession and others, as in said order set out, by doing any of the acts or things therein specified; and from doing any of such acts or things pursuant to any such understanding, etc.; including among said acts, etc., thus prohibited, the fixing and maintaining of prices, and terms and conditions of sale, and the exchanging of information among themselves with respect to prices, etc., as therein set out; and Requiring respondent association, the Surveying-Drafting-Coaters Section of the Scientific Apparatus Makers of Arneripa, its manager, etc., to cease and desist from aiding and assisting the members of respondent association in carrying out or engaging in any of the acts and practices theretofore set forth; and particularly through rules and regulations designed to prevent price deviations, and receipt and dissemination of price lists all as in said order in detail specified. Mr. Everett F. Haycraft and Mr. Rtuben J. Martin for the Commission. Hewes, Prettyman, Awalt & Smiddy, of Washington, D. C., for Scientific Apparatus Makers of America, Carl S. Hallauer, R. E. Gillmor, and John M. Roberts. ' Gerdes & Montgomery, of New York City, for Karl L. Keller and Keuffel & Esser Co.

Mr. Howard P. Beckett, of Philadelphia, Pa., for Surveying-Drafting- Coaters Section of the Scientific Apparatus Makers of America, Arthur L. Patker, Paul J. Bruning, and Frederick Post Co., and, along with- Mr. Robert J. Holmes, of Boston, Mass., for W. A. Berger, and Mayer, M agaziner & Brunswick, of Philadelphia, Pa., for Charles W. Speidel and Walter A. Kohn.

Pam, Hurd & Reichmann, of Chicago, Ill., and Mr. William E. Lamb, of Washington, D. C., for R. Fred Allin and Eugene Dietzgen Co. Mr. Thomas II. Fisher and llfr. Arthur Fisher, of Chicago, Ill., for Huey Co., Economy Blue Plint Products, Inc., and United States Blue Print Paper Co.

Mr. Richard JV. Thorington, of Philadelphia, Pa., for Alphonse A. Brunner, Jacob H. Weil, Edwin H. Wei!, and Manfred Krauskopf. Pope, Ballard & Loos, of Washington, D. C., for The C. F. Pea~e Co. Order 40 F, T, C.

Modified ORDER To CEASE AND DE:stsT This proceeding having been he!),rd by the Federal Trade Commissiotl upon the complaint of the Commission, the answers of respondents, the testimony and other evidence taken before duly appointed trial examiners of the Commission theretofore designated by it to serve in this proceeding, the report of the trial examiner thereon and the exceptions to said reportl briefs filed herein by the Attorney for the Commission and attorneys for the respondents, and the oral arguments by the respective attorneys, and the Commission having made its findings as to the facts and its conclusion that respondents had violated the provisions of the Federal Trade Commission Act, and having entered an order to cease and desist herein on August 25, 1941; and Thereafter the respondents, (1) Keuffel & Esser Company and Karl Keller, (2) Charles Bruning Company, Inc., The Frederick Post Company, Chas. W. Speidel & Company, J. H. vYeil & Company, Paul J. Bruning, W. A. Berger, Arthur L. Parker; and the Charles Bruning Company, Inc., The Frederick Post Company and J. H. Weil & Company, as members of the Scientific Apparatus Makers of America, a corporate association; (3) The C. F. Pease Company; and (4) Eugene Dietzgen Company, filed in the United States Circuit Court of Appeals for the Seventh Circuit their four separate petitions for a review of the Commission's said order to cease and desist entered on August 25, 1941. Thereafter, the Circuit Court· of Appeals for the Seventh Circuit entered four separate decrees by which the Commission's said order to cease and desist entered on August 25, 1941, was, with respect to the petitioning respondents only, modified, affirmed and enforced; and It appearing to the Commission that of the respondents who filed their petitions for review of the Commission's said order to cease and desist with the Circuit Court of Appeals for the Seventh Circuit only one of said respondents, namely, Eugene Dietzgen Company, filed a petition forcertiorari, which said petition was denied by the Supreme Court of the United States on October 9, 1944, and that the time for filing petitions for certiorari as to the remaining said petitioners expired on August 22, 1944; and The Commission having considered the record herein issues this its modified order to cease and desist in accordance with the decrees of the United States Circuit Court of Appeals for the Seventh Circuit entered on May 22, 1944, as to those respondents who filed petitions for review before said Court:

It is ordered, That the respondents, Keuffel & Esser Company and Karl Keller, their officers, directors, representatives, agents and employees; Charles Bruning Company, Inc., The Frederick Post Company, Charles W. Speidel and Walter A. Kohn, trading as Chas. W. Speidel & Company, Jacob H. Wei!, Edwin H. \Veil and :Manfred R Krauskopf, trading as J. H. \Veil & Company, Paul J. Bruning, W. A. Berger, Arthur L. Parker; and the Charles Bruning Company, Inc., The Frederick Post Company, and J. H. Weil & Company, as members of the Scientific Apparatus 1\Iakers of America, a corporate association, and their officers, directors, representatives, agents and employee.s; The C. F. Pease Company, its officers, directors, representatives, agents and employees; and Eugene Dietzgen Company, its officers, directors, representatives, agents and employees, forthwith cease and desist from:

Directly or indirectly, jointly or severally, entering into or carrying out SCIENTIFIC APPARATUS MAKERS OF AMERICA ET AL. 171 169 Order a~y understanding, agreement, arrangement, combination or conspiracy, With each other or with any other person or persons, association or cor- ~oration, to restrict, restrain, monopolize, or to hinder or suppress, compe- !Ition in the sale and distribution in commerce, as "commerce" is defined In the Federal Trade Commission Act, of prepared tracing papers, tracing cloths, blueprint papers and cloths, other reproduction papers and cloths, Profile and cross-s~ction papers and cloths in sheets and rolls, coordinate Papers-graph sheets (except rolled sheets) for engineering and drafting purposes, field books for engineers, drawing instruments, drawing tools (scales, triangles, T-squares, curves), drawing machines, blueprinting ma- ~hines and equipment, drawing boards and tables, filing cabinets for drawlllgs and blueprints, lettering devices and lettering pens for the drafting Profession, slide rules, planimeters and integrators, surveying instruments, surveying barometers, forestry instruments such as tree calipers, hypsometers, increment borers, current meters and water-stage registers, rods and poles for surveyors' use, tapes, chains and plumh bobs, by doing any of the following acts or things, and from doing any of the following acts or things pursuant to any such understanding, agreement, arrangement, combination or conspiracy:

1. Fixing and maintaining, or agreeing to fix and maintain the prices at which said products will be sold by them.

2. Fixing and maintaining, or agreeing to fix and maintain the terms and conditions, including the classification of customers, freight allowances and duration of and optional clauses in contracts, in connection with any sales by them of their said products.

3. Exchanging information among themselves with regard to the prices, discounts, terms and conditions of sale to be submitted by them when bids for their products are requested, and submitting or agreeing to submit identical, or substantially identical, bids on said products when requests for bids have been received. · 4. Filing with respondent Surveying-Drafting-Coaters Section of Scientific Apparatus Makers of America, price lists including discounts, terms and conditions at which they will sell their products, for dissemination by said respondent Association among its members. 5. Agreeing not to sell their said products at a price less, or a discount greater, or on terms and conditions more favorable to the purchaser than those contained in any of the price lists filed with respondent Surveying- Drafting-Coaters Section of Scientific Apparatus Makers of America, or agreeing not to sell said products at a price less or discount greater than or on terms and conditions of sale more favorable to the purchaser than those contained in the price list published by the seller. It is further ordered, That respondent association, Surveying-Drafting- Coaters Section of Scientific Apparatus Makers of America, Arthur L. Parker, its manager and his successors, Karl Keller, Paul J. Bruning, R. Fred Allin, and W. A. Berger, members of its executive committee and their successors, forthwith cease and desist from, directly or indirectly, jointly or severally, aiding and assisting the members of said respondent association in carrying out or engaging in any of the acts and practices hereinbefore set forth, and from performing any service or function in the furtherance of said acts and practices, and particularly from- · 1. Adopting any rule or regulation designed or intended to prevent any deviation on the part of the members of said respondent Association from the prices, discounts and terms fixed and agreed upon by them, as hereinbefore set forth.

Order 40 F. T. C.

2. Receiving from the individual members of said respondent association price lists, including discounts, terms and conditions of sale, and disseminating such information among said respondent association members. It is further ordered, That the complaint herein be, and the same hereby is, dismissed as to respondents, Scientific Apparatus Makers of America, its officers and directors, and respondents, Carl S. Hallauer, R. E. Gillmor and John M. Roberts, the evidence being insufficient to establish the charges of the complaint with respect to these respondents. It is further ordered, That the respondents shall, within 60 days after the service upon them of a copy of this order, file with the Commission a report in writing setting forth in detail the manner and form in which they have complied with this order.

WEBSTER UNIVERSITY 173 Syllabus