Sherman Antitrust Act

Sherman Antitrust Act (1890)

1) Link to the Text of the Act
Read the statute (15 U.S.C. §§ 1–7)

2) Why It Was Done
The Sherman Act was passed to combat the growing power of monopolies and trusts in the late 19th century, ensuring fair competition and protecting consumers from price-fixing and market domination.

3) Pre-existing Law or Constitutional Rights
Before 1890, there was no comprehensive federal competition law. States had some common law remedies, but national markets required federal regulation.

Acts

Clayton Antitrust Act

Clayton Antitrust Act (1914)

1) Link to the Text of the Act
Read the statute (15 U.S.C. §§ 12–27)

2) Why It Was Done
The Clayton Act was enacted to strengthen and clarify antitrust laws after weaknesses in the Sherman Act became evident. It specifically addressed price discrimination, exclusive dealings, mergers, and interlocking directorates.

3) Pre-existing Law or Constitutional Rights
The Sherman Antitrust Act (1890) prohibited monopolization but lacked detail. Courts often interpreted it narrowly. The Clayton Act provided more explicit rules and added teeth to federal antitrust enforcement.

Acts

Federal Trade Commission Act (FTC Act)

Federal Trade Commission Act (1914)

1) Link to the Text of the Act
Read the statute (15 U.S.C. §§ 41–58)

2) Why It Was Done
The FTC Act was enacted to establish the Federal Trade Commission and empower it to prevent unfair methods of competition and unfair or deceptive acts or practices in commerce.

3) Pre-existing Law or Constitutional Rights
The Sherman Act (1890) and Clayton Act (1914) addressed monopolization and certain business practices but lacked a dedicated enforcement agency. The FTC Act created an independent body to oversee and enforce fair trade.