Exam 42: Antitrust

Margaret tells the members of the Raleigh Association of Restaurant Owners that they will be able to get a better price on linen supplies (tablecloths, napkins) if they will deal with one supplier rather than split their business between two. They all know Margaret deals with Niagara Linen rather than Cayuga. Under the Sherman Act, if they all sign contracts with Niagara:

The concerted action requirement of the Sherman Act Section 1:

If a seller of a product conditions its sale upon the buyer's purchasing a second product from the seller, this is known as a:

All price discrimination is illegal under the Robinson-Patman Act.

The Clayton Act exempts labor, agricultural, and horticultural organizations from all antitrust laws.

McDonald's Corporation grants to Bob a franchise in which he will be the only one who has the right to sell McDonald's products in his small hometown. Under the Sherman Act:

W & W, Inc. manufactures and sells widgets. It sells widgets to Marklin of Marklin's Department Store and gives him a preference in pricing that discriminates against other retailers. Does Marklin have liability for price discrimination? Does W & W, Inc. have liability for price discrimination? Explain.

Sarreno Cheese Co. supplies mozzarella cheese to pizza restaurants at $1.70 per pound. In order to snare the business of one large pizza chain, Sarreno offers to sell them cheese at $1.45 per pound. This will violate the Robinson-Patman Act unless:

It is per se illegal under the Sherman Act for sellers to agree to a maximum price, but not a minimum price.

Under the Clayton Act, private parties can bring civil actions in federal court for treble damages and attorneys' fees.

Failure to comply with Section 1, but not Section 2, of the Sherman Act is a criminal violation.

Under the 2004 amendments, corporate offenders who violate Sections 1 or 2 of the Sherman Act face fines of up to $100 million per violation.

Under Section 1 of the Sherman Act, which of the following is illegal per se ?

The principal objective of antitrust law governing mergers is to maintain competition.

Under the Hart-Scott-Rodino Act of 1976,  large mergers and acquisitions  not close until the specified waiting period has passed unless the government grants early termination of the waiting period.

The 2010 Horizontal Merger Guidelines:

The common law traditionally:

Any violation of Section 2 of the Sherman Act constituting a conspiracy to monopolize would also constitute a violation of Section 1.

Which of the following remedies is available under the Sherman Act?

The Leegin Creative Leather Products, Inc. v. PSKS, Inc. case held that: