Scottsdale-Based Axon Loses 9th Circuit Court Appeal Over Acquisition

By Heather van Blokland
Published: Tuesday, February 9, 2021 - 8:58am
Updated: Monday, April 19, 2021 - 1:33pm

Axon
Jimmy Jenkins/KJZZ
Axon headquarters in Scottsdale, Arizona.

Scottsdale-based Axon, maker of Taser stun guns and body camera equipment for law enforcement, lost its appeals court fight with the Federal Trade Commission on Thursday.

According to Reuters, the 9th Circuit Court of Appeals found the FTC did not violate Axon’s constitutional right when it sued the company to undo a merger between Axon and competitor company, Vievu. The FTC said the combined company created "unfair competition" and the potential for price gouging.

The U.S. Court of Appeals for the Ninth Circuit said that the FTC was within its right to challenge the acquisition before a judge within the FTC’s process.

The FTC's lawsuit against in January 2020 required the company to sell off Vievu. Axon filed suit in return, to have the antitrust case heard in federal court, arguing the FTC should not legally be allowed to file a complaint against a company and then decide on the complaint internally.

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