American_Society_Of_Mechanical_Engineers_v._Hydrolevel_Corp.
American Society of Mechanical Engineers, Inc. v. Hydrolevel Corp.
1982 United States Supreme Court case
American Society of Mechanical Engineers v. Hydrolevel Corporation, 456 U.S. 556 (1982), is a United States Supreme Court case where a non-profit association, for the first time, was held liable for treble damages under the Sherman Antitrust Act due to antitrust violations.[1]
In this case, the U.S. Supreme Court held an association liable when its agents appeared to be acting under the authority of the association. Such action is called apparent authority. The court determined that a non-profit association is liable when it fails to prevent antitrust violation through the misuse of the association's reputation by its agents (including lower level staff and unpaid volunteers).[2]