BEIJING (AP) — Health care giant Johnson and Johnson says itis pleased to put a legal dispute
behind it after a Chinese courtordered it to pay compensation to a former distributor under
ananti-monopoly law.Thursday’s ruling said Johnson & Johnsonwas guilty of "vertical
monopoly" for setting minimum prices itsdistributors charged for surgical sutures. It noted that
J&J hasstopped that practice but ordered it to pay 530,000 yuan ($85,000) to aChinese
distributor that said it lost potential sales due to therestriction."While we are disappointed with
today’s ruling by theHigher People’s Court of Shanghai, we are pleased to have put thismatter behind us
and look forward to continuing to provide our highquality products and services to healthcare
institutions and patients inChina," said J&J in a statement.Lawyers said the ruling
indicates Chinese authorities are stepping up anti-monopoly investigations.Theruling was the first of
its kind against a Fortune 500 company underChina’s 5-year-old anti-monopoly law, according to lawyers
and Chinesenews reports.Business groups welcomed the law in 2008 as a steptoward making operating
conditions clearer but have said since then itis enforced more actively against global companies than
against theirlocal rivals.The case comes amid separate Chinese investigationsof possible bribery,
price-fixing and other misconduct by globalsuppliers of milk, pharmaceuticals and other
products.Copyright 2013 The Associated Press.