Update: Judge dismisses “happy hour” antitrust case

Last year, after taverns in Madison, Wisconsin bowed to pressure from official programs discouraging youth drinking and agreed to end “happy hour” discounts in the university town, a law firm from Minneapolis swooped down to file an antitrust suit demanding millions for the offense of having colluded to charge higher prices (see Mar. 29, 2004). […]

Last year, after taverns in Madison, Wisconsin bowed to pressure from official programs discouraging youth drinking and agreed to end “happy hour” discounts in the university town, a law firm from Minneapolis swooped down to file an antitrust suit demanding millions for the offense of having colluded to charge higher prices (see Mar. 29, 2004). Now, however, Circuit Judge Angela B. Bartell has dismissed the suit on summary judgment, finding that the bar owners had acted against their will under regulatory constraint. An alderman who represents the downtown area where most of the bars are located “said bar owners had racked up more than $250,000 in legal fees defending themselves”; given our lack of a loser-pays rule, they have no expectation that either attorney Steven Uhr or the three students on whose behalf he filed the action will chip in to defray any of those outlays. (Ryan J. Foley, “Judge: Bars didn’t fix price of drinks”, AP/Capital Times, Apr. 8; Megan Costello, “Judge dismisses drink special suit”, Badger Herald, Apr. 8).

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