Case Details

Year Initiated/Committed

1999

Year Resolved

2000

Settlement Amount

$737,593 in costs

Court

U.S. District Courts for the District of Columbia, District of Alaska, Central District of California and Northern District of Texas

Docket Number

99 3183

Lead State

AK, CA, NJ, NY, TX

Participating States

AK, CA, CT, DC, DE, MA, MD, NJ, NY, OR, PA, RI, TX, VA, VT, WA

Defendant(s)

Exxon Corporation; Mobil Corporation

Case Description

Plaintiff States complaint against Exxon and Mobil sought to enjoin the merger agreement between the two corporations, alleging that such a merger would substantially impair competition in relevant markets throughout the Northeastern United States by eliminating an effective competitor. In order to maintain a viable, ongoing business and to remedy the lessening of competition in the wholesale and retail sale of gasoline, and to allow completion of the merger, both Mobil and Exxon agreed to divest certain assets in the Northeast and Mid-Atlantic regions of the country, including all Exxon stations in half of the areas and all Mobil stations in the other portion. Plaintiff States were also awarded $737,593 in costs and attorneys fees. In turn, the divestitures ensured a more competitive market, resulting in lower gasoline prices to consumers. The Federal Trade Commission led the investigation in cooperation with the states and filed a parallel complaint and consent decree.