An essential facility under antitrust law is a nearly unique structure in a market, which cannot be easily duplicated and whose use is essential to new providers of goods or services. Refusal to lease or provide access to an essential facility, without business justification, is a violation of Sherman Act Section Two.
To be an essential facility, it need not be indispensable; it is sufficient if duplication of the facility would be economically infeasible and if denial of its use inflicts a severe handicap on potential market entrants." Hecht, 570 F.2d at 992 (observing that a football stadium could be an essential facility).
Chicago Stadium was once an essential facility because "the Chicago Stadium ... was the only Stadium in the Chicago Metropolitan area during the relevant time period which was suitable for the exhibition of professional basketball," Liability Opinion, 1981-2 Trade Cas. at 74,771, which not be feasibly duplicated, and for which the lack of access hurt a company's status as a competitor.
See also
- Fishman v. Estate of Wirtz, 807 F.2d 520, 539 (7th Cir. Ill. 1986)