RESPONDENT: Arnold Schwinn & Co., Schwinn Cycle Distributors Association
LOCATION: Arnold Schwinn & Co.
DOCKET NO.: 25
CITATION: 388 US 365 (1967)
ARGUED: Apr 20, 1967
DECIDED: Jun 12, 1967
GRANTED: Dec 06, 1965
Robert C. Keck - for the appellee
Richard A. Posner - for the appellant
Facts of the case
The United States brought an antitrust action against Arnold, Schwinn & Co. and its distributor Schwinn Cycle Distributors Association. Arnold only allowed distributors to sell its products to approved dealers. The United States complaint attached this practice as an unlawful restraint on trade. The district court held that this practice was unlawful as to sales from distributors to dealers, but allowed for sales directly from Arnold to dealers. The Supreme Court heard this case on direct appeal
Does Schwinn’s practice of only selling products to approved dealers violated the Sherman Act?