In Big Bear Lodging Ass’n v. Snow Summit Inc., the defendant association had entered into an agreement with the city of incorporation where the association would receive preferential tax breaks and would, in turn, enter into package deals with consumers and promote the resort area. Two members of the association dropped out, then were told to rejoin or their tickets and other items would not be honored by the association. The court held that such an arrangement violated the antitrust laws in terms of a direct antitrust injury to non-association members due to the boycott. This was based on §1 of the Sherman Antitrust Act.

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