Judge permits trial over newspaper deals

JUDGE PERMITS TRIAL OVER NEWSPAPER DEALS
[SOURCE: San Francisco Chronicle, AUTHOR: Bob Egelko]
U.S. District Judge Susan Illston ruled that readers have the right to challenge media mergers under antitrust laws. The decision allows a lawsuit opposing MediaNews Group's acquisitions of the San Jose Mercury News and Contra Costa Times to move forward. MediaNews bought the papers for $736.8 million last year in a complex transaction that resulted in the Hearst Corp., parent company of The San Francisco Chronicle, owning a stake in MediaNews operations outside the Bay Area. MediaNews and Hearst had sought to dismiss the suit, arguing that individual readers have no stake in antitrust laws because they suffer no harm from any alleged reduction in newspaper competition. Judge Illston said federal law recognizes the public's concern in maintaining competition and diversity in the news media.
http://www.sfgate.com/cgi-bin/article.cgi?f=/c/a/2007/04/11/BAGCUP6E331....