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Civil Procedure Keyed to Subrin
Car Carriers, Inc. v. Ford Motor Company
Facts
Plaintiffs were car carriers that moved cars at some point for Defendant Ford. Plaintiffs alleged that Ford worked with the other Defendants in harming Plaintiffs by first forcing Plaintiffs to upgrade their operations with the promise of higher payment by Ford, and then never providing the higher payments once the upgrades have been completed. Ford also prevented Plaintiffs from merging or acquiring other carrier companies. Finally, Ford solicited bids for work which allowed Defendant Nu-Car to put in a predatory bid and undercut Plaintiffs. Plaintiffs then filed a federal antitrust claim against Defendants as well as some state claims. The district court dismissed the antitrust claim with prejudice because the harm complained of is not the type that antitrust law was designed to prevent. The court dismissed the suit since the antitrust claim was the only federal claim. Plaintiffs then refiled in federal court with state claims as well as federal racketeering claims. The district court dismissed the entire action as being barred under res judicata because the claims are still from the basic fact situation. Plaintiffs argue that the district court should have looked at the differences in the injuries redressed by each action rather than the facts behind each action, and alternatively that new facts unknown during the prior filing are now known.
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