Question
Spatula City is North Florida's premier retail vendor of spatulas; it also sells spatula accessories, spatula-themed t-shirts, and even a bit of music celebrating spatulas.
Spatula City is North Florida's premier retail vendor of spatulas; it also sells spatula accessories, spatula-themed t-shirts, and even a bit of music celebrating spatulas. It is organized as a partnership entity (i.e., it is not a sole proprietorship, limited liability company, joint venture, or corporation). It has 20 employees and, two years ago, it earned annual revenues totaling $15 million from its various retail locations, including its Spatula Superstore in Palatka.
Approximately 18 months ago, TTF started selling spatulas and spatula accessories through its website. You may assume that, as a result of this decision, TTF and Spatula City became business competitors. TTF did not enter into any restrictive contracts with its suppliers that impeded their ability to provide spatulas, or any spatula-related accessories or other goods, to competitors like Spatula City. Nor did TTF run any false advertisements, including advertisements concerning Spatula City, spatulas, or any spatula-related accessories or other goods. And TTF's prices, while low, were above the marginal wholesale cost of each spatula (i.e., TTF was not selling below cost). Rather, TTF's low prices, customer- friendly interface, rapid delivery, and general popularity attracted many of Spatula City's customers.
As a result, Spatula City's revenues plummeted and it is presently hovering on the verge of bankruptcy. The owner is worried that, if Spatula City goes bankrupt, it will be difficult for its 20 employees to find other jobs. Spatula City sues TTF. Its complaint, brought under Section 4 of the FORCE Act, alleges that TTF violated Section 3 of that statute. Spatula City contends that it is a business competitor of TTF, and that TTF harmed it through TTF's business activities and competition.
As a matter of statutory interpretation (i.e., disregard any potential constitutional requirements such as standing), is Spatula City a proper plaintiff to bring a claim under Section 4 of the FORCE Act? (10 points)
Is TTF a proper defendant in a claim under Section 4 of the FORCE Act? (10 points)
Assume the answers to (a) and (b) are "yes." Does Spatula City have a valid claim against
TTF for violating section 3? (20 points)
Assume the answers to (a) and (b) are "yes." Further assume that TTF actually had run false advertisements about Spatula City that caused Spatula City's customers to cease shopping there. Would such actions provide an independent basis to allow Spatula City to sue TTF for violating section 3? (10 points)
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