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CONSPIRACY, PARALLEL BEHAVIOR, PLEADING STANDARD, MOTION TO DISMISS, FACTUAL ALLEGATIONS

Plaintiff, Twombly, brought a class action antitrust suit against local telephone and internet providers (Bell Atlantic) alleging the defendants had agreed not to compete with each other and conspired to prevent the entry of competitors within their respective territories. The District Court granted Bell Atlantic’s 12(b)6 motion to dismiss on the grounds that Twombly’s complaint failed to include a factual allegation that would “tend to exclude” independent self-interest as an explanation for defendants’ parallel conduct. On appeal, the Second Circuit reversed and remanded on the grounds that a heightened pleading standard does not apply in the context of antitrust litigation. Bell Atlantic argues that application of the “tend to exclude” standard is necessary to filter frivolous lawsuits. Twombly responds that the “tend to exclude” standard is contrary to the pleading requirements under the Federal Rules of Civil Procedure and would unfairly block meritorious antitrust suits.

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