There has been little published review of competitive analysis in the crude and refined oil pipeline industry since the Antitrust Division of the Department of Justice issued Oil Pipeline Deregulation in 1986. A re-examination of these issues is timely, however, since regulatory authorities are currently dealing with mergers that involve pipeline assets, challenges to pipeline rates, application for the authority to set market-based rates, and deregulation. This paper reviews many of the issues that need to be addressed in undertaking a competitive analysis of liquid pipelines. In order to better explain these concepts, Dr. Cox and Dr. David describe a surprisingly complex case involving a short petroleum products pipeline in Los Angeles.