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Antitrust Keyed to Gavil, 5th Ed.
Standard Oil Company (Indiana) v. United States
Citation:
283 U.S. 163, 51 S.Ct. 421, 75 L.Ed. 926 (1931)Facts
The case involved four primary defendants who owned patents covering different gasoline cracking processes. Standard Oil of Indiana developed the first commercially successful cracking process in 1913 and dominated the field for seven years. The other primary defendants later developed their own processes, leading to conflicts over patent validity and infringement. To resolve these disputes, the companies entered into three agreements between 1921 and 1923 that allowed each company to use the others’ patents and to extend licenses to independent companies. The agreements also included provisions for sharing royalties collected from licensees. The government alleged that these agreements constituted an illegal combination to control the supply and price of gasoline produced by the cracking process.
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