Univ Airlines and Mirago Airlines are competitors. They mutually agree to charge customers a certain price for airfreight. This leads to the several lawsuits being filed against them by other airlines. In this case, Univ Airlines and Mirago Airlines can be charged under _____.
A)the Clayton Act
B)the Sarbanes-Oxley Act
C)the Sherman Act
D)the Robinson-Patman Act

Question

Quizplus · Accepted Answer

The Sherman Antitrust Act is a federal law that prohibits any collusive activity that would result in a restraint of trade. Charging customers a certain price for airfreight by two competitors is an example of price-fixing, which is a violation of the Sherman Act. The Clayton Act is a federal law that specifically addresses certain anticompetitive practices, such as price discrimination and exclusive dealings. The Sarbanes-Oxley Act is a federal law that regulates financial reporting and corporate governance standards. The Robinson-Patman Act is a federal law that prohibits price discrimination against customers of a company's own choice. None of these acts specifically address price-fixing, which is the issue in this scenario.

Univ Airlines and Mirago Airlines Are Competitors