In a May 17, 2005 column, we predicted that the U.S. Supreme Court would take a step toward rightsizing the Robinson-Patman Act (RPA) by reversing a technical, though glaring, mistake made by the 8th U.S. Circuit Court of Appeals in deciding the case Reeder-Simco GMC, Inc. v. Volvo GM Heavy Truck Corp.[FOOTNOTE 1]
As a quick review of the basics, under the RPA, it is unlawful for any person to discriminate in price between different purchasers of like grade and quality.[FOOTNOTE 2] However an important RPA requirement, overlooked by the 8th Circuit, states that “no single sale can violate the Robinson-Patman Act.”[FOOTNOTE 3]
