Judge Susan Illston (ND Cal) ruled Monday that purchasers alleging a price-fixing conspiracy by a number of American and foreign companies that manufactured and sold Thin Film Transistor Liquid Crystal Display ("TFT-LCD") panels and products could proceed past the pleading stage. The order is here: Download lcd_mtd.pdf
TFT-LCDs are used in a number of products, including computer monitors, laptop computers, televisions, and cellular phones. Plaintiffs allege that defendants fixed prices of TFT-LCD products over about a 10-year period beginning in January, 1996.
Judge Illston rejected defendants' argument that the complaints failed to allege enough facts to demonstrate a plausible basis for a claim to relief under the Supreme Court's 2007 decision in Twombly.
Judge Illston noted, for example, that the complaints allege complex and unusual pricing practices by defendants, which cannot be explained by the forces of supply and demand, and that defendants had offered pretextual reasons for price increases.
The complaints also allege specific instances of invitations to agree and subsequent agreements. "Courts have held that a conspiracy to fix prices can be inferred from an invitation, followed by responsive assurances and conduct."
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