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Antitrust Keyed to Gavil, 5th Ed.
Palmer v. BRG of Georgia, Inc.
Citation:
498 U.S. 46, 111 S.Ct. 401, 112 L.Ed.2d 349 (1990)Facts
HBJ began offering a Georgia bar review course on a limited basis in 1976 and was in direct, often intense competition with BRG during the period from 1977 to 1979. In early 1980, HBJ and BRG entered into an agreement that gave BRG an exclusive license to market HBJ’s material in Georgia and to use its trade name “Bar/Bri.” The agreement contained a “Covenant Not to Compete” whereby HBJ agreed not to compete with BRG in Georgia, and BRG agreed not to compete with HBJ outside of Georgia. Under the agreement, HBJ received $100 per student enrolled by BRG and 40% of all revenues over $350. Immediately following the 1980 agreement, the price of BRG’s course increased dramatically from $150 to over $400. In 1985, Palmer and other law students contracted to take BRG’s bar review course and later filed suit alleging that the price was artificially enhanced due to the unlawful agreement between BRG and HBJ.
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