D.C. Circuit affirms dismissal of states’ antitrust claims against Facebook

Forty-six states, D.C., and Guam sued Facebook for violating antitrust laws based on its acquisitions of several competitors, and restrictions on developers of apps that linked to Facebook. The district court dismissed the action, and the D.C. Circuit today unanimously affirmed.  In so doing, the court held that the doctrine of laches does apply to state plaintiffs, and that the doctrine barred the states’ claims based on acquisitions and conduct that was more than five years old. As to other claims, the court found the district court correctly found that Facebook’s competitor integration policy did not violate the Sherman Act, as it left apps free to develop applications for Facebook’s competitors, and that it was free to prohibit developers from using Facebook to promote products that sought to duplicate Facebook.

Leave a Reply

Your email address will not be published. Required fields are marked *