March 20, 2012 – Following the completion of a strategic plan in 2009, the Maine Lobstermen’s Association began to reorganize into a non-profit corporation to achieve its mission. The MLA’s mission is to preserve Maine's lobstering heritage through programs that support a sustainable lobster resource and the fishermen and communities that depend on it.
In May 2010, the Maine Lobstermen’s Association (MLA) requested termination of a consent decree entered into in 1958 with the Department of Justice (DOJ), resulting from a 1957 DOJ suit against MLA for alleged price fixing. The request was made as part of MLA’s reorganization directed by the MLA Board of Directors in order to ensure MLA is strategically positioned to fulfill its mission.
In its request to the DOJ, MLA explained that the industry has changed substantially in the more than five decades since the Consent Decree was entered. During that time, environmental, economic and fisheries management regulations have fundamentally altered the industry, and MLA’s role, as noted above, has evolved to address these changes.
MLA believes that the terms of the Consent Decree serve no public interest purpose today. Moreover, they impose on MLA needless limitations on its corporate activities that are unrelated to the antitrust concerns addressed by the Consent Decree. For example, unless the MLA remains organized in its current structure as a cooperative, the Consent Decree may prevent it from involvement in many fishery management activities that affect the health of the lobster resource, the safety and efficiency of harvesting practices and the imposition of measures to protect endangered marine species. The MLA plans to reorganize as a non-profit corporation in order to further its education, stewardship, economic development, charitable and management related activities.
MLA also noted in its request to the DOJ that the organization does not play any direct role in the purchase or sale of lobsters, and thus is not involved in any of the practices that gave rise to the 1958 DOJ enforcement action. Finally, MLA observed that after the Consent Decree is terminated, it would remain subject to all applicable antitrust laws. In light of these points, MLA requested termination of the Consent Decree as soon as practicable.
In March 2011, in accordance with DOJ procedures for consideration of a request to terminate a Consent Decree, the MLA published the following notice of its intent to seek termination of this Consent Decree in the MLA Newsletter and the Portland Press Herald inviting interested parties to provide the Department of Justice their comments or any relevant information they wish to provide.
NOTICE OF INTENTION TO TERMINATE MAINE LOBSTERMEN'S ASSOCIATION FINAL JUDGMENT
PLEASE TAKE NOTICE that the Maine Lobstermen's Association, Inc. ("MLA"), as successor in interest to one of the original defendants in the Final Judgment entered in United States v. Maine Lobstermen's Association and Leslie Dyer, Antitrust & Trade Reg. Rep. (BNA) ¶ 69,114; at 74,373 (Aug. 5, 1958), (the "Final Judgment"), intends to petition the United States District Court for the District of Maine to enter an Order terminating the Final Judgment.
On October 15, 1957, the United Stated filed a complaint alleging that the Maine Lobsterman's Association and its then-president Leslie Dyer combined and conspired with each other and with others, to fix and establish a minimum selling price for live Maine lobsters sold to lobster dealers, to refrain from catching lobsters until such minimum price was obtained, and to induce and compel all Maine lobstermen to adhere to the terms of the conspiracy charged, all in violation of the Section 1 of the Sherman Act. After an indictment was returned but before a trial on the merits, the United States District Court for the District of Maine entered the Final Judgment which permanently enjoined the Maine Lobstermen's Association or any of its members from entering into or adhering to any agreement or understanding to fix or maintain the price for sale of live Maine lobsters, or to reduce, curtail or limit the catch of live Maine lobsters. If the Final Judgment is terminated, the MLA would not be precluded from participating in ongoing fisheries management measures and educational outreach aimed at sustaining the Maine lobster fishery. The MLA still would be subject to all applicable antitrust laws.
Before determining whether it should join a motion to terminate the Final Judgment, the Antitrust Division of the U.S. Department of Justice invites interested persons to provide the Division with any information or comments relevant to the proposed termination. Interested persons may submit information or comments to William Stallings, Acting Chief, Transportation, Energy & Agriculture Section, Antitrust Division, U.S. Department of Justice, Suite 8000,450 Fifth Street, NW, Washington, DC 20530.
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