The legal slopes have been icy for Intermountain Management, owners of Labrador and Song Mountains, as they face a substantial loss in their fight against antitrust allegations. New York Attorney General Letitia James claimed a win in the case against the ski resort conglomerate for shutting down their competitor, Toggenburg Mountain, effectively violating antitrust laws. According to an official press release from the Attorney General's office, the court's decision came as a triumph for consumers and competitors in the Syracuse skiing market.
Intermountain Management's strategy was to not only force out their rivals but also to assert dominance within the local ski industry, leading to higher prices and limited options for ski enthusiasts. “Intermountain paid a premium price to destroy competition because its owners knew they could raise prices and profit more with a monopoly. Now Intermountain’s anticompetitive scheme is put on ice. I will always take action to protect consumers and workers from corporate monopolies who try to profit by shutting down the competition,” Attorney General James told the press. In October 2022, shortly after Intermountain's acquisition and shutdown of Toggenburg, the Attorney General's office filed suit, claiming that these actions were intended to illegally stifle competition, as noted by the same press release.
The legal team, led by Deputy Bureau Chief Amy McFarlane and Bureau Chief Elinor Hoffmann, alongside their team, presented compelling evidence that Intermountain engaged in anticompetitive tactics. They highlighted an alleged "no-poach" provision as well, which barred Toggenburg’s prior owners from hiring any Intermountain employees. These tactics, the OAG claimed, were both anticompetitive and illegal under New York's antitrust laws.
Judge Robert E. Antonacci II ruled in favor of the Attorney General's office, finding that Intermountain's actions to buy and promptly shut down Toggenburg were indeed anticompetitive. The court found that the intent behind these actions was to drive up Intermountain’s profits by reducing consumer choice, an act devoid of any valid justification. Future court proceedings have been announced to determine the appropriate remedy for Intermountain’s anticompetitive conduct. Further entrenching their legal position, Intermountain's undermining of competition was evidenced through approaches to Toggenburg’s owner John Meier, which included a series of social engagements and a "faux buy" tactic to secure the deal, as detailed by the Attorney General's office.
This legal battle was supported by data analysis from Kenneth Morales of the Research and Analytics Department, providing pivotal insights into the anticompetitive implications of Intermountain’s business practices.
