Legal Definitions - antitrust violations

Antitrust violations occur when a company or organization breaks laws that protect trade and commerce from abusive practices. These laws are in place to prevent things like price-fixing, restraints, price discrimination, and monopolization. Violating antitrust laws can result in both criminal and civil penalties.

There are three key federal statutes in Antitrust Law:

• Sherman Act Section 1
• Sherman Act Section 2
• The Clayton Act

Examples of antitrust violations include:

• A group of companies agreeing to set the same price for a product, which is known as price-fixing.
• A company using its dominant market position to prevent competitors from entering the market, which is known as monopolization.
• A company offering different prices to different customers for the same product, which is known as price discrimination.

Violating antitrust laws can result in serious consequences. Criminal penalties can include up to 10 years of jail time and fines of up to $100,000,000 per violation. Civil penalties can include fines, injunctions, and other remedies.

Overall, antitrust violations are taken very seriously and are closely monitored by government agencies to ensure fair competition in the marketplace.