Case Description
The complaint alleged that Matsushita Electric Corporation of America (Matsushita), and certain dealers conspired to fix or maintain the resale price for which dealers were able to sell its Panasonic products. The Panasonic products included 6 VCRs, 3 camcorders, 3 telephone answering machines and 4 Technics audio and video products models. Essentially, Matsushita set ‘go prices’ or suggested minimum retail prices with its dealers from which allegedly no deviation was permitted. Alleged consequences for noncompliance included threatening to withhold shipments or possibly terminating employment of the dealer to coerce compliance. In response, dealers complied with Matsushita’s pricing policy, thus establishing a conspiracy. In addition to a $24.5 million settlement with 49 States and the District of Columbia, Matsushita agreed to an injunction for a period of 5 years. $8.5 million of the total settlement sum went toward implementing the settlement agreement, investigative costs and attorneys fees. The remaining $16 million was distributed directly to consumers.
