Figure 11.5
The Federal Trade Commission was created to oversee fair trade practices. (Credit: Clker-Free-
Vector-Images/ pixabay/ License: CC0)
The FTC Act is only enforceable by the Federal Trade Commission (FTC), which was created as a result of this
Act (Jurist, 2013). The FTC implements the Act’s provisions, and the FTC and the U.S. Department of Justice
(DOJ) are the federal agencies responsible for prosecuting violators in either civil or criminal proceedings,
depending on the act violated. One remedy that the FTC or DOJ can seek is divestiture, which forces the
company to give up one or more of its operating functions (West, n.d.). Another remedy is dissolution, which
would terminate the right of a partnership to exist (West, n.d.).
Exemptions
There are limitations on antitrust laws that have been introduced over the years. These include:
•
Labor – A labor union can organize and bargain within the bounds of antitrust laws, as long as it does not
combine with a nonlabor group.
•
Agriculture and Fisheries – Collective co-ops of agricultural groups or fisheries can form, as long as they
do not engage in restraint of trade.
•
Foreign Trade – Companies can join forces in cooperative activities involving foreign trade exports, as
long as trade within the United States is not restrained.
•
Cooperative Research and Production – Small businesses can cooperatively work together on research
130
Chapter 11 Antitrust Law
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