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US v 3D SYSTEMS CORPORATION and DTM CORPORATION Click to find out why . . .



Keywords & Phrases
CaseNo: UVDSCADC246287, CourtName: US DEPARTMENT OF JUSTICE, Plaintiff: US, State: DC Washington D.C., UniqueCaseRef: LCD>UVDSCADC246287, United States, Divestiture, Judgement, Assets, Three-dimensional Objects, Stereolithography, Apparatus, Production, Industry, Dtm, Technology, America, Dtm Corporation, Competition, Sale, Trustee, Provisions, Market, Acquirer, Prototypes, Entry, Stipulation, Clayton Act, Materials, Purchase, Selective Laser Sintering, District, Acquisition, Industrial Equipment, Sinterable Semi-crystalline Powder, Price, Transaction, Parties, Accomplish, Manufacturers, North America, Manufacturer , ContentID: 120245932

Case Documents
1   VERIFIED COMPLAINT
[ see first page and extracted highlights below  ] ItemID: 112774
11 pages
PDF
2 2001-08-16 US COMPLIANCE WITH ANTITRUST PROCEDURES AND PENALTIES ACT
[ see first page and extracted highlights below  ] ItemID: 112773
2 pages
PDF
3 2001-08-16 STIPULATION AND ORDER
[ see first page and extracted highlights below  ] ItemID: 112772
3 pages
PDF
4 2001-08-16 MOTION FOR ENTRY OF STIPULATION AND ORDER
[ see first page and extracted highlights below  ] ItemID: 112771
2 pages
PDF
5 2001-08-16 FINAL JUDGMENT
[ see first page and extracted highlights below  ] ItemID: 112770
24 pages
PDF
6 2001-06-06 COMPLAINT
[ see first page and extracted highlights below  ] ItemID: 112769
9 pages
PDF
Total Documents: 6 documents , 51 pages
Price: $ 44.95


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1 . VERIFIED COMPLAINT

EXTRACTED KEY WORDS
DTM
UNITED STATES
COMPETITION
SALE
MARKET
PROTOTYPES
PRODUCTION
TECHNOLOGY
PRICE
MANUFACTURERS
CLAYTON ACT
MATERIALS
MACHINING
CUSTOMERS
ACQUISITION
RAPID
PURCHASE
DISTRICT
VIOLATION
COMMERCE
TEXAS
DEFENDANTS
COST
TRANSACTION
METALS
INNOVATION
FABRICATION
ENTRY
ENTRANT
                             IN THE UNITED STATES DISTRICT COURT
                                     FOR THE DISTRICT OF COLUMBIA

     UNITED STATES OF AMERICA,
     U.S. Department of Justice
     Antitrust Division                                     Civil Action No. 1:01CV01237
     1401 H Street, N.W.
     Suite 4000                                             Judge Gladys Kessler
     Washington, D.C. 20530,
                                                            June 6, 2001
                                       Plaintiff,

                               v.

     3D SYSTEMS CORPORATION
     26081 Avenue Hall
     Valencia, California 91355

      and

     DTM CORPORATION,
     1611 Headway Circle
     Building 2
     Austin, Texas 78754,

                                       Defendants.


                                          VERIFIED COMPLAINT

              The United States of America, acting under the direction of the Attorney General of

United States, brings this civil antitrust action to obtain equitable relief against Defendants, and

alleges as follows:

              1.     The United States seeks to enjoin the acquisition by 3D Systems Corporation

("3D") of DTM Corporation ("DTM").  Unless enjoined, 3D's acquisition of DTM will

substantially lessen competition in the development, manufacture and sale of industrial Rapid

Prototyping ("RP") systems in the United States in violation of Section 7 of the Clayton Act, as

amended, 15 U.S.C. § 18.



       2.      Rapid prototyping is a process by which a machine transforms a computer design
SNIPPETS:
  • IN THE UNITED STATES DISTRICT COURT
  • The United States seeks to enjoin the acquisition by 3D Systems Corporation
  • of DTM Corporation.
  • substantially lessen competition in the development, manufacture and sale of industrial Rapid
  • Prototyping systems in the United States in violation of Section 7 of the Clayton Act,
  • Rapid prototyping is a process by which a machine transforms a computer design
  • cost hundreds of thousands of dollars and are able to create
  • functional prototypes, tooling inserts, and low volume production quantities of parts.
  • systems market from three to two and would result in the combined company having a U.S.
  • sale of industrial RP systems -- competition which has resulted in technological improvements
  • amended, 15 U.S.C. § 25, to prevent and restrain Defendants from violating Section 7 of the
  • and servicing industrial RP systems substantially affect interstate commerce.
  • DTM is a Texas corporation with its principal place of business in Austin,
  • systems and related materials used in industrial RP systems.
  • stock at a purchase price of $5.80 per share.
  • The value of the transaction is estimated to be $45 million.
  • that traditionally have been produced by machining and other methods.
  • There is a broad range of uses for the technology employed in an RP system.
  • The customers for industrial RP systems include original equipment manufacturers,
  • In the event of a small but significant increase in the price of industrial RP systems,
  • 3D and DTM offer the most sophisticated systems in the industry,
  • enables direct fabrication of complex metal parts and tooling inserts.
  • process in order to eliminate DTM's perceived advantage in the area of metals.
  • Entry Is Unlikely to Deter the Exercise of Market Power
  • an entrant would need to gain the confidence and trust of purchasers.
  • States would likely increase, and the quality, innovation, and service

  • 2 . US COMPLIANCE WITH ANTITRUST PROCEDURES AND PENALTIES ACT

    EXTRACTED KEY WORDS
    JUDGEMENT
    COURT
    ENTRY
    ANTITRUST
    APPA
    SETTLE
    STIPULATION
    COMPLIANCE
    COMPETITIVE IMPACT STATEMENT
    FEDERAL REGISTER
    RESPONSES
    DTM CORPORATION
    MEMORANDUM SUMMARIZING
    PURSUANT
    PENALTIES ACT
    CIVIL ANTITRUST
    COMPLAINT
    PARTIES
    IMPACT STATEMENT RELATING
    NEWSPAPERS
    PRIOR
    MEMBERS
    JUSTICE
    ANTITRUST DIVISION
    EXPIRATION
    WITHDRAW
    CONSENT
    PARAGRAPH
    UNITED STATES REQUESTS
    
                                  IN THE UNITED STATES DISTRICT COURT
                                         FOR THE DISTRICT OF COLUMBIA
    
    
    UNITED STATES OF AMERICA,
    
                                 Plaintiff,
                                                                   Civil No: 1:01CV01237 (GK)
                                   v.
    
    3D SYSTEMS CORPORATION and                                     Filed: August 16, 2001
    DTM CORPORATION,
    
                                 Defendants.                       Judge: Gladys Kessler
    
    
    
                                         UNITED STATES' EXPLANATION OF
                                          CONSENT DECREE PROCEDURES
    
                  The United States submits this memorandum summarizing the procedures regarding the
    
    Court's entry of the proposed Final Judgment.  This Judgment would settle this case pursuant to
    
    the Antitrust Procedures and Penalties Act, 15 U.S.C. §§ 16(b)-(h) (the "APPA"), which applies
    
    to civil antitrust cases brought and settled by the United States.
    
                  1.      On June 6, 2001, the United States filed a Complaint, and today files a
    
    Final Judgment and a Stipulation and Order between the parties by which they have agreed that
    
    the Court may enter the proposed Final Judgment following the United States' compliance with
    
    the APPA.
    
                  2.       The United States very shortly will file a Competitive Impact Statement
    
    the proposed Judgment [15 U.S.C. § 16(b)].
    
                  3.       The APPA requires that the United States publish the proposed Final Judgment
    
    the Competitive Impact Statement in the Federal Register and in certain newspapers at least 60
    
    days prior to entry of the proposed Final Judgment.  The notice will inform members of the public
    
    
    
    that they may submit comments about the proposed Final Judgment to the United States
    
    SNIPPETS:
  • DTM CORPORATION,
  • The United States submits this memorandum summarizing the procedures regarding the
  • Court's entry of the proposed Final Judgment.
  • This Judgment would settle this case pursuant to
  • the Antitrust Procedures and Penalties Act, 15 U.S.C. §§ 16-, which applies
  • to civil antitrust cases brought and settled by the United States.
  • On June 6, 2001, the United States filed a Complaint, and today files a proposed
  • Final Judgment and a Stipulation and Order between the parties by which they have agreed that
  • the Court may enter the proposed Final Judgment following the United States' compliance with
  • The United States very shortly will file a Competitive Impact Statement relating to
  • The APPA requires that the United States publish the proposed Final Judgment and
  • the Competitive Impact Statement in the Federal Register and in certain newspapers at least 60
  • days prior to entry of the proposed Final Judgment.
  • The notice will inform members of the public
  • Department of Justice, Antitrust Division.
  • United States' responses in the Federal Register.
  • After the expiration of the sixty-day period, the United States will file with the
  • Court the comments and the United States' responses, and it may ask the Court to enter the
  • proposed Final Judgment (unless the United States has decided to withdraw its consent to
  • as permitted by Paragraph of the Stipulation and Order) [see 15 U.S.C.
  • If the United States requests that the Court enter the proposed Final Judgment after

  • 3 . STIPULATION AND ORDER

    EXTRACTED KEY WORDS
    JUDGEMENT
    STIPULATION
    PARTIES
    UNITED STATES
    DEFENDANTS
    ENTRY
    PROVISIONS
    PARTY
    DIVESTITURE
    AMERICA
    HERETO
    DISTRICT
    MOTION
    COMPLIANCE
    WITHDRAWN
    CONSENT
    APPEALS
    COURT RULING DECLINING
    SIGNING
    CONSUMMATE
    TRANSACTION
    COMPLAINT
    EQUAL FORCE
    WRITING
    PARAGRAPH
    ENTERED PURSUANT
    ORDERED CONTINUED COMPLIANCE
    OBLIGATIONS
    PREJUDICE
    
                                  IN THE UNITED STATES DISTRICT COURT
                                         FOR THE DISTRICT OF COLUMBIA
    
    
    UNITED STATES OF AMERICA,
    
                                 Plaintiff,
                                                                   Civil No: 1:01CV01237 (GK)
                                   v.
    
    3D SYSTEMS CORPORATION and                                     Filed: August 16, 2001
    DTM CORPORATION,
    
                                 Defendants.                       Judge: Gladys Kessler
    
    
    
                                               STIPULATION AND ORDER
    
                  It is stipulated by and between the undersigned parties, by their respective
    
    follows:
    
                  (1)    The Court has jurisdiction over the subject matter of this action and, for
    
    of this case only, over each of the parties hereto, and venue of this action is proper in the United
    
    States District Court for the District of Columbia.
    
                  (2)    The parties stipulate that a Final Judgment in the form hereto attached may be
    
    and entered by the Court, upon the motion of any party or upon the Court's own motion, at any
    
    time after compliance with the requirements of the Antitrust Procedures and Penalties Act (15
    
    U.S.C. § 16), and without further notice to any party or other proceedings, provided that the
    
    United States of America (hereinafter "United States") has not withdrawn its consent, which it
    
    may do at any time before the entry of the proposed Final Judgment by serving notice thereof on
    
    the parties and by filing that notice with the Court.
    
                  (3)    Defendants shall abide by and comply with the provisions of the proposed Final
    
    
    
    Judgment, pending the Judgment's entry by the Court, or until expiration of time for all appeals of
    
    SNIPPETS:
  • It is stipulated by and between the undersigned parties, by their respective attorneys, as
  • States District Court for the District of Columbia.
  • The parties stipulate that a Final Judgment in the form hereto attached may be filed
  • and entered by the Court, upon the motion of any party or upon the Court's own motion, at any
  • U.S.C. § 16), and without further notice to any party or other proceedings, provided that the
  • United States of America has not withdrawn its consent,
  • may do at any time before the entry of the proposed Final Judgment by serving notice thereof
  • Defendants shall abide by and comply with the provisions of the proposed Final
  • signing of this Stipulation by the parties, comply with all the terms and provisions of the
  • Defendants shall not consummate the transaction sought to be enjoined by the
  • Complaint herein before the Court has signed this Stipulation and Order.
  • This Stipulation shall apply with equal force and effect to any amended proposed
  • Final Judgment agreed upon in writing by the parties and submitted to the Court.
  • paragraph above, or the proposed Final Judgment is not entered pursuant to this
  • the time has expired for all appeals of any Court ruling declining entry of the
  • and the Court has not otherwise ordered continued compliance with the
  • obligations under this Stipulation, and the making of this Stipulation shall be without
  • The defendants represent that the divestiture ordered in the proposed Final

  • 4 . MOTION FOR ENTRY OF STIPULATION AND ORDER

    EXTRACTED KEY WORDS
    STIPULATION
    ENTRY
    UNITED STATES
    DTM CORPORATION
    JUDGEMENT
    COURT
    ANTITRUST
    PARTIES
    COMPLAINT
    REQUIRING
    DEFENDANTS
    MOTION
    ABIDE
    PROVISIONS
    JUDGMENT PENDING
    COMPLIANCE
    PENALTIES ACT
    CONSUMMATE
    TRANSACTION
    AUTHORIZED PLAINTIFF
    CONCUR
    DANDO
    CELLINI
    HEREBY CERTIFY
    FOREGOING MOTION
    ACCOMPANYING STIPULATION
    EXPLANATION
    CONSENT DECREE PROCEDURES
    HAND DELIVERY
    
                                  IN THE UNITED STATES DISTRICT COURT
                                          FOR THE DISTRICT OF COLUMBIA
    
    
    UNITED STATES OF AMERICA,
    
                                 Plaintiff,
                                                                    Civil No: 1:01CV01237 (GK)
                                    v.
    
    3D SYSTEMS CORPORATION and                                      Filed: August 16, 2001
    DTM CORPORATION,
    
                                 Defendants.                        Judge: Gladys Kessler
    
    
    
                                               MOTION FOR ENTRY OF
                                               STIPULATION AND ORDER
    
    
                  Plaintiff moves the Court for entry of the Stipulation and Order filed today in this
    
    antitrust merger case.  The parties urge the Court to enter this Order on the following grounds:
    
                  1.     Plaintiff filed a Complaint on June 6, 2001, challenging a proposed
    
    3D Systems Corporation ("3D") of DTM Corporation ("DTM").  Plaintiff has also filed a
    
    proposed Final Judgment that would settle the claims in the Complaint by requiring the divestiture
    
    of certain assets.
    
                  2.     In the Stipulation and Order, Defendants have agreed to abide by and comply
    
    all terms and provisions of the proposed Final Judgment pending its entry (which cannot occur
    
    until after compliance with the requirements of the Antitrust Procedures and Penalties Act, 15
    
    U.S.C. § 16).  3D and DTM have also agreed not to consummate their transaction before the
    
    entry of the Stipulation and Order.
    
                  3.     Defendants have authorized Plaintiff to state that they concur in this motion.
    
    
    
    Dated: August 16, 2001                         Respectfully Submitted,
    
    
    SNIPPETS:
  • UNITED STATES OF AMERICA,
  • Plaintiff moves the Court for entry of the Stipulation and Order filed today in this civil
  • The parties urge the Court to enter this Order on the following grounds:
  • Plaintiff filed a Complaint on June 6, 2001, challenging a proposed acquisition by
  • 3D Systems Corporation of DTM Corporation.
  • proposed Final Judgment that would settle the claims in the Complaint by requiring the
  • In the Stipulation and Order, Defendants have agreed to abide by and comply with
  • all terms and provisions of the proposed Final Judgment pending its entry (which cannot occur
  • until after compliance with the requirements of the Antitrust Procedures and Penalties Act,
  • 3D and DTM have also agreed not to consummate their transaction before the
  • Defendants have authorized Plaintiff to state that they concur in this motion.
  • I, Dando B. Cellini, hereby certify on August 16, 2001, I caused a copy of the foregoing
  • for Entry of Stipulation and Order and the accompanying Stipulation and Order,
  • proposed Final Judgment, and United States' Explanation of Consent Decree Procedures, to be
  • by hand delivery or by mail.

  • 5 . FINAL JUDGMENT

    EXTRACTED KEY WORDS
    DIVESTITURE
    JUDGEMENT
    UNITED STATES
    ASSETS
    COURT
    THREE-DIMENSIONAL OBJECTS
    STEREOLITHOGRAPHY
    APPARATUS
    AMERICA
    DTM CORPORATION
    PRODUCTION
    TRUSTEE
    PLAINTIFF
    ACQUIRER
    TECHNOLOGY
    PROVISIONS
    SELECTIVE LASER SINTERING
    INDUSTRIAL EQUIPMENT
    SINTERABLE SEMI-CRYSTALLINE POWDER
    ACCOMPLISH
    NORTH AMERICA
    COMPETITION
    ENHANCED CONTROL
    THERMAL STEREOLITHOGRAPHY
    SELECTED TECHNOLOGY
    SIMULTANEOUS MULTIPLE LAYER
    DIMENSIONAL OBJECTS
    RAPID PROTOTYPING
    ADJUDICATION
    
                                 IN THE UNITED STATES DISTRICT COURT
                                        FOR THE DISTRICT OF COLUMBIA
    
    
    UNITED STATES OF AMERICA,
    
                                Plaintiff,
                                                                Civil No: 1:01CV01237 (GK)
                                  v.
    
    3D SYSTEMS CORPORATION and                                  Filed: August 16, 2001
    DTM CORPORATION,
    
                                Defendants.                     Judge: Gladys Kessler
    
    
    
                                               FINAL JUDGMENT
    
                  WHEREAS, plaintiff, United States of America, filed its Complaint on June 6, 2001,
    
    plaintiff and defendants, 3D Systems Corporation ("3D") and DTM Corporation ("DTM"), by
    
    their respective attorneys, have consented to the entry of this Final Judgment without trial or
    
    adjudication of any issue of fact or law, and without this Final Judgment constituting any evidence
    
    against or admission by any party regarding any issue of fact or law;
    
                  AND WHEREAS, defendants agree to be bound by the provisions of this Final Judgment
    
    pending its approval by the Court;
    
                  AND WHEREAS, the essence of this Final Judgment is the prompt and certain divestiture
    
    of certain rights or assets by the defendants to assure that competition is not substantially
    
    lessened;
    
                  AND WHEREAS, plaintiff requires defendants to make certain divestitures for the
    
    purpose of remedying the loss of competition alleged in the Complaint;
    
                  AND WHEREAS, defendants have represented to the United States that the divestitures
    
    
    
    required below can and will be made and that defendants will later raise no claim of hardship or
    
    
    SNIPPETS:
  • IN THE UNITED STATES DISTRICT COURT
  • WHEREAS, plaintiff, United States of America, filed its Complaint on June 6, 2001,
  • plaintiff and defendants, 3D Systems Corporation and DTM Corporation, by
  • adjudication of any issue of fact or law, and without this Final Judgment constituting any
  • defendants agree to be bound by the provisions of this Final Judgment
  • the essence of this Final Judgment is the prompt and certain divestiture
  • of certain rights or assets by the defendants to assure that competition is not substantially
  • NOW THEREFORE, before any testimony is taken, without trial or adjudication of any
  • "Acquirer" means the entity to whom defendants divest the Divestiture Assets.
  • Technology or the LS Technology, which technology shall be the technology currently used by
  • F. "North America" means Canada,
  • Equipment from 3D, if the Selected Technology is SL Technology, or from DTM, if the Selected
  • and resell both defendants' used RP Industrial Equipment in North America;
  • processes or other technology utilized in the fabrication of three-dimensional objects
  • guard against the monitoring of the Acquirer's sales or production by defendants.
  • the Court shall appoint a trustee selected by the United States
  • and the Court setting forth the trustee's efforts to accomplish the divestiture ordered under
  • 4,575,330 Apparatus for production of three-dimensional
  • objects by stereolithography 4,929,402 Method for production of three dimensional
  • three-dimensional objects by stereolithography 5,582,876 Stereographic apparatus and method
  • production of three dimensional objects using
  • recoating parameters for groups of layers 6,110,409 Rapid prototyping process and apparatus
  • enhanced control of prescribed stimulation
  • selective sintering 4,938,816 Selective laser sintering with assisted powder
  • selective sintering 5,342,919 Sinterable Semi-Crystalline Powder and Near-Fully
  • Title 4,992,806 Method of jetting phase change ink 5,141,680 Thermal Stereolithography

  • 6 . COMPLAINT

    EXTRACTED KEY WORDS
    DTM
    PRODUCTION
    SALE
    MARKET
    MANUFACTURER
    COMPETITION
    PROTOTYPES
    CLAYTON ACT
    TECHNOLOGY
    PURCHASE
    PRICES
    MATERIALS
    SERVICING
    DISTRICT
    DEFENDANTS
    ACQUISITION
    TRANSACTION
    AGREEMENT
    ENTRY
    ENTRANT
    COURT
    AMERICA
    VALENCIA
    CALIFORNIA
    VIOLATION
    INTERSTATE COMMERCE
    PURSUANT
    CONTRACT
    INTENDS
    
                                 IN THE UNITED STATES DISTRICT COURT
                                          FOR THE DISTRICT OF COLUMBIA
    
    
         UNITED STATES OF AMERICA,
         U.S. Department of Justice
         Antitrust Division                                      Civil Action No. 01CV01237
         1401 H Street, N.W.
         Suite 4000
         Washington, D.C. 20530,                                       COMPLAINT
    
                                            Plaintiff,
                                                                 Judge: Kesler
                                    v.
    
         3D SYSTEMS CORPORATION                                  Date Filed: June 6, 2001
         26081 Avenue Hall
         Valencia, California 91355
    
          and
    
         DTM CORPORATION,
         1611 Headway Circle
         Building 2
         Austin, Texas 78754,
    
                                            Defendants.
    
                  The United States of America, acting under the direction of the Attorney General of
    
    United States, brings this civil antitrust action to obtain equitable relief against Defendants, and
    
    alleges as follows:
    
    1.                   The United States seeks to enjoin the acquisition by 3D Systems Corporation
    
                  Systems") of DTM Corporation ("DTM").  Unless enjoined, 3D Systems' acquisition of
    
                  DTM will substantially lessen competition in the sale of Rapid Prototyping ("RP")
    
                  (defined below) in the United States in violation of Section 7 of the Clayton Act, as
    
                  amended, 15 U.S.C. § 18.
    
    
    
    2.           The acquisition would combine the two largest manufacturers of RP systems in the
    
          United States, and would result in the combined company having a domestic market share
    
    SNIPPETS:
  • IN THE UNITED STATES DISTRICT COURT
  • The United States of America, acting under the direction of the Attorney General of the
  • United States, brings this civil antitrust action to obtain equitable relief against
  • Systems") of DTM Corporation.
  • DTM will substantially lessen competition in the sale of Rapid Prototyping systems
  • in the United States in violation of Section 7 of the Clayton Act,
  • between 3D Systems and DTM in the development, production, and sale of RP systems
  • manufacturing, selling, and servicing RP systems substantially affect interstate commerce.
  • This Court has jurisdiction over the subject matter of this action and the Defendants
  • proper in this judicial district pursuant to 15 U.S.C. § 22 and 28 U.S.C. § 1391.
  • business in Valencia, California.
  • 3D Systems is a leading manufacturer and supplier of RP
  • and related powdered materials.
  • THE PROPOSED TRANSACTION
  • pursuant to which 3D Systems intends to acquire DTM in a cash tender offer.
  • merger agreement provides that 3D Systems will commence a tender offer for all
  • outstanding shares of DTM's common stock at a purchase price of $5.80 per share.
  • Rapid Prototyping Systems Comprise a Relevant Product Market
  • bureaus," which are companies that purchase RP systems and then create prototypes for
  • RP system technology, and is enabling this technology to displace older methods of
  • purchasers and users of RP systems through lower prices and improved products.
  • Systems' acquisition of DTM is permitted to proceed,
  • Entry Is Unlikely to Deter the Exercise of Market Power
  • an entrant would need to gain the confidence and trust of the purchasers.
  • unlawful and in violation of Section 7 of the Clayton Act,
  • that any purchase agreement or contract for the acquisition of DTM by 3D
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