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Antitrust Keyed to Gavil, 5th Ed.
Lorain Journal Company v. United States
Citation:
342 U.S. 143, 72 S.Ct. 181, 96 L.Ed. 162 (1951)Facts
The Lorain Journal had been the only daily newspaper in Lorain, Ohio since 1932 when it purchased its only competitor. With a circulation reaching 99% of Lorain families, the Journal enjoyed a substantial monopoly in the mass dissemination of news and advertising until 1948, when radio station WEOL began broadcasting from nearby Elyria. The Journal, having previously failed to obtain a radio broadcasting license, implemented a policy of refusing to accept local advertisements from any Lorain County advertiser who also advertised or was believed to be planning to advertise on WEOL. The Journal monitored WEOL’s programs to identify advertisers and terminated contracts with businesses that used the radio station. Many local merchants testified that they either ceased advertising on WEOL or abandoned plans to do so because they could not afford to lose access to the Journal’s near-universal reach in Lorain. The District Court characterized this as “bold, relentless, and predatory commercial behavior” designed to destroy WEOL and restore the Journal’s monopoly over mass dissemination of news and advertising.
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