USPS Argues Against Application of Antitrust Laws

The USPS has requested that the Postal Modernization Act of 1999 drop language recommending application of antitrust laws to a private corporation that oversees competitive products and services to antitrust laws.

In its petition, made earlier this week to a panel chaired by Rep. John McHugh (R-NY), the USPS said that dropping the language would prevent the postal service from becoming “an attractive antitrust litigation target” of both customers and competitors.

“If the substance of antitrust law were applied to the USPS, damage suits should be precluded, and remedies should be limited primarily to injunctive relief,” the USPS said. According to the USPS, the reason for this is that the Postal Service has no shareholders, is entirely federally owned, subject to Congressional oversight, managed by Presidential appointees and “is not a dominant player in any competitive markets and is unlikely to engage in unlawful behavior.”

“Antitrust is the least of the issues the postal service has to deal with,” observed Gene Del Polito, Advertising Mail Marketing Association president. He said the USPS should “stop this sort of gamesmanship and sit down with its customers and chief opponents who have legitimate gripes about their actions to hammer out a consensus on how to reform the postal service.”

There was no comment from postal officials.

A review of potential changes may be decided in April.