United States of America v. Bechtel Corporation

Cite as 648 F.2d 660 (1981)


660 648 FEDERAL, REPORTER, 2d SERIES

UNITED STATES of America
Plaintiff-Appellee,

V.

BECHTEL CORPORATION, Bechtel Incorporated, Bechtel Power Corporation, Bechtel International, Inc. and Bechtel International Corporation, Defendants-Appellants.

No. 79-4194.

United States Court of Appeals,
Ninth Circuit.

Argued and Submitted Jan. 14, 1981.

Decided June 18, 1981.


Defendant corporations and certain of their subsidiaries appealed entry of consent jutigment by the United States District Court for the Northern District of California, William A. Ingram, J., in antitrust action. The Court of Appeals, Skopil, Circuit Judge, held that: (1) the Government's failure to strictly comply with the Antitrust Procedures and Penalties Act time requirements did not entitle defendants to relief from their consent judgment; (2) the Government did not breach the stipulation or destroy consent by allegedly repudiating the consent decree's meaning; (3) the District court did not abuse its discretion in declining to decide at time of entry of judgement whether the Export Admistration Act would require modification of consent decree; (4) inquiry undertaken by district
court in determining whether consent decree was in the public interest was appropriate in scope; and (5) the district court did not err in determining that consent decree was in the public interest.

Affirmed.


1. Federal Courts 562

Decrees entered by consent may be reviewed on appeal where there is a claim of lack of actual consent or lack of subject matter jurisdiction.

2. Federal Courts 763

A decree that appears by the record to have been rendered by consent is always affirmed without considering the merits of the cause.

3. Federal Courts 774
in antitrust action in which consent decree was entered, any error by the trial court in refusing to enter a judgment dismissing action for the Government's alleged failure to state a cause of action could not be corrected on appeal where defendants waive the defect by their consent.

4. Monopolies 24(16)
Government's failure to strictly comply
with Antitrust Procedures and Penalties Act time requirements did not entitle corporations to relief from consent to judgment in antitrust action, although stipulation filed by parties called for consent to be entered at any time after compliance with requirements of the Act, in view of fact that nonmmpliance with time requirements did not go to the essence of the stipulation and corporations failed to show any prejudice arising from the Government's failure to file its responses to public comments until nearly one year after the close of the comment period. Antitrust Procedures and Penalties et, 21;21; 2, 2(d), 15 U.S.C.A. 21;21; 16, 16(d).

5. Monopolies 24(16)

In antitrust action, the Government did not breach stipulation and destroy consent judgment by allegedly repudiating consent decree's meaning when Government filed and published its response to public comments on the proposed decree, although Government had made incorrect statement in competitive impact statement filed with proposed decree, in view of fact that interpretation offered in Government's response to public comments was an effort to correct and clarify its obvious earlier mistake, not a change in position.

6. Federal Civil Procedure 2397

When a consent judgment is being interpreted for enforcement purposes the court may rely on certain aids to construction, including the circumstances surrounding formation of the order.

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