Antitrust/Trade Law Overview

Antitrust laws, both state and federal, aim to prevent situations where a single company grows so large that it achieves a monopoly in the market for its goods/services. The laws—also known as competition laws—cover a range of issues that are considered unfair, including price-fixing (setting prices artificially, which goes against free-market principles). Under one antitrust law, large companies must notify federal agencies if they want to buy another large company in their sector.

Antitrust laws are fairly general, leaving it up to courts to determine whether a specific practice is illegal. Usually this involves deciding whether a business practice is harmful to consumers.