Judge Grants Injunction Against WVU Book-Buying Program
This is an update to my post last month about the lawsuit filed by the Book Exchange, an independent bookstore, against West Virginia University and Barnes & Noble, which alleged antitrust violations and unfair trade practices as a result of WVU's program of reserving funds from students who receive financial aid, then requiring the money to be spent at its bookstore.
According to Forbes.com, Circuit Judge Russell M. Clawges, Jr. granted the Book Exchange's motion for a preliminary injunction today. The injunction prevents WVU from sending out e-mails to the students informing them the funds have been reserved, which was scheduled to occur today. The article does not say whether the injunction also prevents WVU from reserving the funds in the first place. Presumably, the Court granted the injunction because the immediate and irreparable harm that the Book Exchange alleged was the e-mail notifications, after which the students could begin to make their purchases at WVU's bookstore.
Forbes.com's article says that approximately 3,000 students participated in the program last fall. If each student spent the $500 that was reserved, that's about $1.5 million in sales that the Book Exchange did not have an opportunity to compete for.
According to Forbes.com, Circuit Judge Russell M. Clawges, Jr. granted the Book Exchange's motion for a preliminary injunction today. The injunction prevents WVU from sending out e-mails to the students informing them the funds have been reserved, which was scheduled to occur today. The article does not say whether the injunction also prevents WVU from reserving the funds in the first place. Presumably, the Court granted the injunction because the immediate and irreparable harm that the Book Exchange alleged was the e-mail notifications, after which the students could begin to make their purchases at WVU's bookstore.
Forbes.com's article says that approximately 3,000 students participated in the program last fall. If each student spent the $500 that was reserved, that's about $1.5 million in sales that the Book Exchange did not have an opportunity to compete for.
