Credit Reporting Agencies AddressesLoan inquiry agencies Addresses
CBC Corporations, Inc. v. Equifax, Inc. The plaintiffs, CBC Enterprises and CBC Innovis (together'CBC') buy credit statements from all three credit reference agencies and sell them on in a condensed'Tri-Merged' statement.
" However, carbon credit bureaus and other retailers also resell replicas of consolidated statements or "new issues", which are a cheaper option to credit statements bought back by credit bureaus. By obliging retailers to charge a royalty each and every times they resold a reprint, although they did not purchase any new Equifax information, Equifax illegally used its dominant position in the credit report sales markets (the so-called'Mortgage Reseller Market') to monopolise and monopolise the subsequent sales of credit information to mortgages (the 'Mortgage Lender Market').
According to CBC, Equifax impeded effective entry into the pertinent markets by'imposing and threatening to sanction financially any reseller who sells rice soups and by reducing and risking to reduce the comparative edge that rice soups enjoyed over reported [three mergers]. Sixth Circuit dismissed this allegation and concluded that CBC had not suffered anti-trust violations for several different purposes.
Firstly, the Court found that CBC's claim did not contain anything other than conclusive assertions. Citing Bell Atlantic Corp. v. Twombly, 550 U.S. 544 (2007), the Sixth Circuit noted that CBC had neglected to present important facts - such as cost rises specifically for its new issues or loss of sale on the markets as a consequence of Equifax's new directive - to support its generalised claims.
Secondly, the Sixth Circuit found that the facts presented in CBC's appeal indicated that CBC's basic disagreement with Equifax was the pricing conditions CBC had to accept in order to keep buying credit records from Equifax. Despite CBC's argument that Equifax was controlling a necessary Input,'even if a company holds a significant part of the overall portfolio, anti-trust legislation is not a bargaining instrument for a claimant looking for better contractual conditions.
After all, to the degree that CBC claimed to have an effect on the mortgage lender market, they were more the product of government regulation that required home builders to buy credit from the three domestic credit reporting authorities than of any anti-competitive behaviour by Equifax.
"There is no recognizable anti-trust damage if the claimed damage is a by-product of the regulation system or German government legislation and not of the respondent's commercial practice.