LAD #24: The Clayton Antitrust Act

This act was passed in order to fix the problems from the Sherman Anti-Trust Act. Some of the changes made in this Act were price discrimination, changes in merger laws, sales conditions, and ownership laws. If competition is lessened by price discrimination and monopolies are formed than it becomes illegal. The mergers executed by a company may not lessen competition, nor may the buyer deal with the seller’s competitor. These revisions primarily dealt with unfair competition created by the outlined situations, all of which were made illegal to further help the consumer and the small businesses. Probably the most significant section in the Clayton was the Act Section 8. This prevented any one person from being the director of more than one competing businesses to prevent monopolies.