Antitrust Law

Antitrust law is in place to encourage competition and free trade.

There are THREE core antitrust laws in effect today.
CLICK HERE to access the Federal Trade Commission Website. In the table below, list each
of the laws in effect and give three components or facts about each.

Law #1 #2 #3
The Sherman Act Prohibits unreasonable Failure to comply can Making deals with other
restraint of trade and lead to 10 years in corporations to fix prices,
makes it so companies can prison along with divide markets, or rig bids
not hold a monopoly expensive fines is forbidden under this act

The Federal Trade Prohibits unfair methods All actions covered by This act is more
Commision Act of competition and The Sherman Act are widespread than The
deceptive practices also under violation of Sherman Act, covers more
The FTC Act

The Clayton Act This act covers more Bans one person from If companies plan to merge
specific things that The making business choices major businesses they
Sherman Act does not for competing must inform the
address companies government in advance

Denise Leigh Queen of the Classroom

 The penalties for violating the Sherman Act can be severe. Explain below…
The consequences of violating The Sherman Act consist of 10 years in
prison and up to a $100 million fine for companies ($1 million for an
individual). In some cases this fine is higher depending on how much money
the business made through their unethical practices or how much it cost
the victims.

Listed below, is a few antitrust lawsuits. Select one of them to research.

Give a briefing of the case. Who were the defendants? Who was the
plainti ? What was the outcome?

Denise Leigh Queen of the Classroom

Antitrust Case: United States v. Apple Inc.

Apple violated act 1 of The Sherman Act. In order to raise prices of

ebooks they conspired with big publishing companies. This case had enough
evidence to prove Apple guilty and was seen as a per se violation of The
Sherman Act. Apple Inc. was fined $450 million.

Denise Leigh Queen of the Classroom

 The Standard Oil Case of 1911 is one of the most famous antitrust cases
of all time. Research the case and give a briefing below…
Standard Oil company violated The Sherman act by trying to create a
monopoly, using anticompetitive practices. Since these actions led to the
consequences of one or all of the following they were charged; higher
prices, reduced output, and/or reduced quality.

Denise Leigh Queen of the Classroom