Bid Rigging and Umbrella Damages

When a cartel does not include all sellers in a market, it raises the possibility of buyers paying elevated prices on purchases made from non-cartel members and therefore suffering “umbrella damages” due to the cartel’s conduct. While certain jurisdictions (e.g. the EU) allow plaintiffs to claim umbrella damages, it is not clear whether plaintiffs seeking umbrella damages in the U.S. have standing. This article analyzes the role of umbrella damages when conducting damage assessment in bid-