Continental T V., Inc. v. GTE Sylvania, Inc. :: 433 U.S. 36 1977 :: Justia US Supreme Court Center

Most Schwinn bikes will feature a head badge or plate that identifies them as a Schwinn. This badge varied in style, depending on the style of bike and the year it was made. However, if you see the Schwinn name on the badge, it’s probably a Schwinn bike.

Schwinn’s new company coincided with a sudden bicycle craze in America. Chicago became the center of the American bicycle industry, with thirty factories turning out thousands schwinn ebike of bikes every day. Bicycle output in the United States grew to over a million units per year by the turn of the 20th century. Schwinn is the original American bike brand.

Using the standard electro-forged cantilever frame, and fitted with five-speed derailleur gears and knobby tires, the Klunker 5 was never heavily marketed, and was not even listed in the Schwinn product catalog. Unlike its progenitors, the Klunker proved incapable of withstanding hard off-road use, and after an unsuccessful attempt to reintroduce the model as the Spitfire 5, it was dropped from production. A growing number of US teens and young adults were purchasing imported European sport racing or sport touring bicycles, many fitted with multiple derailleur-shifted gears.

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27 (line 20). Although True Fitness invoiced the subsidiaries separately, Schwinn Bicycle Company remained liable for payment under the August 25, 1989, modification of the Letter Agreement. As Thorholm testified, Schwinn Bicycle Company also decided whether the affiliates’ checks to True Fitness would be sent or held. Since Debtors essentially did business with True Fitness as if they were one, Defendant argues they should be accorded similar treatment in determining the new value advanced by True Fitness. However, Stallings testified only as to the contractual payment terms offered to dealers by the Defendant and Precor.

The Defendant’s asserted ordinary course of business defense therefore fails entirely as to each of the transfers. By the late 1970s, a new bicycle sport begun by enthusiasts in Northern California had grown into a new type of all-terrain bicycle, the mountain bike. Mountain bikes were originally based on Schwinn balloon-tired cruiser bicycles fitted with derailleur gears and called “Klunkers”. A few participants began designing and building small numbers of mountain bikes with frames made out of modern butted chrome-molybdenum alloy steel.

Petitioner Continental, one of respondent’s franchisedretailers, claimed that respondent had violated ยง 1 of the ShermanAct by entering into and enforcing franchise agreements thatprohibited the sale of respondent’s products other than fromspecified schwinn beach cruiser locations. The District Court rejected respondent’srequested jury instruction that the location restriction wasillegal only if it unreasonably restrained or suppressedcompetition. Instead, relying on United States v. Arnold,Schwinn & Co., 388 U.