Judge opines on the messy Wild Oats (OATS) buyout

In any antitrust analysis, it's critical to define the "relevant market." Basically, the FTC argued that it was very narrow and would mean fewer choices for consumers. What's more, there were some damaging emails from Whole Foods, which said things like "avoid nasty price wars."

Well, Judge Friedman didn't let this color his legal analysis. Hey, don't all successful companies have a fierce competitive streak?

Simply put, traditional grocers -- such as Safeway Inc. (NYSE: SWY) and Kroger Co. (NYSE: KR) -- are doubling down on organic foods. The judge even indicated that about 60% of such foods come from traditional grocers. Thus, if Whole Foods wants to crank up prices, it will be tough to keep its customers (except for those who are highly loyal).

All in all, the judge's decision makes a lot of sense to me. And is another indication of how dynamic markets can be -- and that, even though the law can be slow, it seems like it is in keeping with the times in this case.

Tom Taulli is the author of various books, including the Complete M&A Handbook and the EDGAR-Online Guide to Decoding Financial Statements.