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ANTITRUST ENFORCEMENT

(PART 1)

HEARING

BEFORE THE

SUBCOMMITTEE ON
- ANTITRUST, CONSUMERS AND EMPLOYMENT

OF THE

COMMITTEE ON SMALL BUSINESS
HOUSE OF REPRESENTATIVES

NINETY-FIFTH CONGRESS

SECOND SESSION

WASHINGTON, D.C., JULY 20, 1978

Printed for the use of the Committee on Small Business

ANTITRUST ENFORCEMENT

(PART 1)

HEARING

BEFORE THE

SUBCOMMITTEE ON
ANTITRUST, CONSUMERS AND EMPLOYMENT

OF THE

COMMITTEE ON SMALL BUSINESS
HOUSE OF REPRESENTATIVES

NINETY-FIFTH CONGRESS

SECOND SESSION

WASHINGTON, D.C., JULY 20, 1978

Printed for the use of the Committee on Small Business

U.S. GOVERNMENT PRINTING OFFICE

36 474 O

WASHINGTON : 1979

6

7720

COMMITTEE ON SMALL BUSINESS

NEAL SMITH, Iowa, Chairman TOM STEED, Oklahoma

SILVIO O. CONTE, Massachusetts JOHN D. DINGELL, Michigan

J. WILLIAM STANTON, Ohio JAMES C. CORMAN, California

JOSEPH M. McDADE, Pennsylvania JOSEPH P. ADDABBO, New York

WILLIAM S. BROOMFIELD, Michigan FERNAND J. ST GERMAIN, Rhode Island TIM LEE CARTER, Kentucky CHARLES J. CARNEY, Ohio

M. CALDWELL BUTLER, Virginia HENRY B. GONZALEZ, Texas

WILLIAM S. COHEN, Maine JAMES M. HANLEY, New York

MILLICENT FENWICK, New Jersey JOHN BRECKINRIDGE, Kentucky

ROBERT W. KASTEN, JR., Wisconsin JOHN J. LAFALCE, New York

LARRY PRESSLER, South Dakota
BERKLEY BEDELL, Iowa

DAN QUAYLE, Indiana
FREDERICK W. RICHMOND, New York DAN MARRIOTT, Utah
MARTY RUSSO, Illinois
ALVIN BALDUS, Wisconsin
RICHARD NOLAN, Minnesota
RICHARD H. ICHORD, Missouri
HENRY J. NOWAK, New York
THOMAS A. LUKEN, Ohio
JOSEPH A. LE FANTE, New Jersey
ANDY IRELAND, Florida
DALE E. KILDEE, Michigan
IKE SKELTON, Missouri
WYCHE FOWLER, JR., Georgia
BILLY LEE EVANS, Georgia

THOMAS G. POWERS, General Counsel
Lois LIBERTY, Publications Specialist
JAMES R. PHALEN, Minority Counsel

SUBCOMMITTEE ON ANTITRUST, CONSUMERS AND EMPLOYMENT

JOHN BRECKINRIDGE, Kentucky, Chairman HENRY B. GONZALEZ, Texas

M. CALDWELL BUTLER, Virginia BERKLEY BEDELL, Iowa

WILLIAM S. COHEN, Maine
THOMAS A. LUKEN, Ohio

LARRY PRESSLER, South Dakota
JAMES M. HANLEY, New York
RICHARD H. ICHORD, Missouri
HENRY J. NOWAK, New York

STEVEN ENGELMYER, Subcommittee Counsel* •Steven Engelmyer was appointed as Subcommittee Counsel, effective August 8, 1978. Jere W. Glover, resigned as Subcommittee Counsel, effective August 27, 1978

CONTENTS

Page

1

1

3

61

1163

45

4

1150

Hearing held on July 20, 1978..

Breckinridge, Hon. John, chairman, Subcommittee on Antitrust, Consumers

and Employment: Opening statement

Testimony of-

Biddle, A. G. W., president, Computer and Communications Industry

Association.

Shenefield, John H., Assistant Attorney General, Antitrust Division, De

partment of Justice

Tariot, Jean N., chairman and chief executive officer, Incoterm Corp.;

accompanied by Mrs. Sherry..

Additional material supplied for the record-

Biddle, A. G. W., president, Computer and Communications Industry

Association:

Examples of harassment and failure to comply violations

Prepared statement.....

Correspondence and articles pertaining to the hearing

Shenefield, John H., Assistant Attorney General, Antitrust Division, De

partment of Justice:

Advisories from the Department of Justice referring to effects on

competition that proposed legislation may produce

Brief summary of enforcement activities under A.T. & T. and IBM

decrees.

Civil/criminal litigation under Sherman-Clayton........

Memoranda and correspondence pertaining to governmental regula-

1064

1143

68