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STATE OF CAL. EX REL. CHRISTENSEN v. F. T. C.

No. 75-3813.

549 F.2d 1321 (1977)

STATE OF CALIFORNIA ex rel. C. B. CHRISTENSEN, California Milk Producers Advisory Board & Cunningham & Walsh, Inc., Appellees, v. FEDERAL TRADE COMMISSION, Louis A. Engman, Paul Rand Dixon, Mayo J. Thompson, M. Elizabeth Hanford and Stephen Nye, and Daniel J. Hanscom, Appellants.

United States Court of Appeals, Ninth Circuit.

March 3, 1977.

Attorney(s) appearing for the Case

James L. Browning, Jr., U.S. Atty., Paul J. Fitzpatrick, Asst. U.S. Atty., San Francisco, Cal., Barbara L. Herwig, Atty., App. Section, Civ. Div., U.S. Dept. of Justice, Thomas S. Martin, Washington, D. C., argued, for appellants.

Evelle J. Younger, Atty. Gen., Roderick E. Walston, Dist. Atty. Gen., San Francisco, Cal., William A. Weinberg, Jr., Broad, Khourie & Schulz, San Francisco, Cal., argued for appellees.

Before KOELSCH, GOODWIN and CHOY, Circuit Judges.

OPINION

GOODWIN, Circuit Judge.

The Federal Trade Commission appeals a district court judgment which ordered the FTC to terminate, for lack of jurisdiction, cease-and-desist proceedings challenging the advertising of milk in a manner which the FTC alleged to be deceptive.

The injunction rested on the proposition that the dairy industry's advertising program was not subject to FTC regulation because it was sanctioned by an instrumentality of the state...

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