DOJ Asks Supreme Court to Review Apple Antitrust Case

The Supreme Court should review Apple’s attempt to block a class-action lawsuit alleging it monopolized the distribution of App Store applications, inflating consumer prices by preventing third parties from selling apps directly to consumers, DOJ said Tuesday. The 9th U.S. Circuit Court of Appeals ruled the lawsuit could proceed, citing federal antitrust law. DOJ claims the lower court misapplied the Illinois Brick rule, which prevents indirect purchasers from seeking certain antitrust damages passed on by third parties -- in this case the developers. Apple has argued only the developers, not consumers, can sue in this case. Applying the Illinois Brick rule to these types of e-commerce sales “will significantly affect the private enforcement of federal antitrust law, in part because other existing and emerging e-commerce platforms use similar models,” DOJ said. “The importance of the question presented will only grow as commerce continues to move online.”