A federal judge has reversed a $44.4 million verdict against Jacksonville’s Swisher International, but the case will continue to an appellate court.
The company has operated in Jacksonville since 1924, and its cigar factory on 16th Street is considered the largest in the world, producing 1.6 billion cigars a year.
In April, a California jury found Swisher liable for breach of contract and violation of federal antitrust laws concerning its actions with Trendsettah, a small cigar company. It awarded Trendsettah $14.8 million, which is tripled under federal antitrust laws.
Earlier this month, Judge James V. Selna of the US District Court for the Central District of California overturned that award. But a breach of contract judgment for about $9 million is still in place.
The case now continues onto the Ninth Circuit Court of Appeals.
The two companies entered into a contract in 2011 under which Swisher would supply Trendsettah with cigarellos that would be sold under the name Splitarillo. Trendsettah claimed that the Splitarillo was identical to Swisher’s own Swisher Sweet, which Swisher denied. But Trendsettah used different packaging and sold them for less than Swisher sold its Swisher Sweets.
Splitarillos sold well enough to take part of Swisher’s market share, said Mark Poe, the San Francisco attorney representing Trendsettah. Swisher, he said, responded by limiting the number of Splitarillos it supplied to Trendsettah.cigars during those three years, but that was 200 million fewer than it needed.
Full Content: Jacksonville
Want more news? Subscribe to CPI’s free daily newsletter for more headlines and updates on antitrust developments around the world.
Featured News
BHP Unveils £31bn Mining Megamerger Proposal with Anglo American
Apr 25, 2024 by
nhoch@pymnts.com
ByteDance Prefers Shutdown Over Sale of TikTok Amid US Ban Threats
Apr 25, 2024 by
CPI
FCC Votes to Restore Net Neutrality Rules
Apr 25, 2024 by
nhoch@pymnts.com
Apple Rejects Spotify’s Updated App Over In-App Pricing Disclosure
Apr 25, 2024 by
CPI
FCC Set to Reinstate Net Neutrality Rules Today
Apr 25, 2024 by
CPI
Antitrust Mix by CPI
Antitrust Chronicle® – Economics of Criminal Antitrust
Apr 19, 2024 by
CPI
Navigating Economic Expert Work in Criminal Antitrust Litigation
Apr 19, 2024 by
CPI
The Increased Importance of Economics in Cartel Cases
Apr 19, 2024 by
CPI
A Law and Economics Analysis of the Antitrust Treatment of Physician Collective Price Agreements
Apr 19, 2024 by
CPI
Information Exchange In Criminal Antitrust Cases: How Economic Testimony Can Tip The Scales
Apr 19, 2024 by
CPI