Upgrade to remove ads
Legal II Final
Chapters 33, 34 and 35
Terms in this set (77)
What are two types of ways in determining the lawfulness of a restraint?"
-Per Se Rule (Price Fixing)
- Rule of Reason
What two kinds of selling restraints are there?
Which restraint deals with restraints of trade that are considered inherently noncompetitive?
-Per se rule
A minimum retail selling price is a _____ violation.
-Per Se Rule
A maximum retail selling restraint is a ____ violation.
- Rule of Reason
Sherman Anti-Trust Act
-Was called the "Magna Carta of free enterprise"
-Outlawed anticompetitive behavior
Non price vertical restraints are covered under the _____ restraint.
Is it illegal to be a monopoly?
No, but it is illegal to be a monopoly and use monopoly power
What was the concept behind the Clayton Act?
To Regulate Mergers
What is the general rules of price discrimination?
Can not price discrimination between buyers
Section 2 of the Clayton Act deals with?
Price discrimination of goods only
You can't price discriminate legally without _____ ______.
if there is a way to relieve yourself from economic debt through another means
The European Union follows the anti trust violation laws more then the U.S.
not fit for human consumption
Safe drinking water act happened in ____.
Robinson-Patman Act is
Establishes the following three statutory defenses.
1. Cost Justification.
2. Changing Conditions
3. Meeting the Competition
Federal Trade Act
-Enacted in 1914
-Prohibits "unfair methods of competition and unfair or deceptive acts or practices" in or affecting commerce.
-Agrees to penalty but does not admit guilt
-or refusal to deal
-Occurs when two or more competitors at one level of distribution agree not to deal with others at a different level of distribution
Division of Markets
-or Market Sharing
- Is a per se violation of Section 1 of the Sherman Act
-Competitors agree that each will serve only a designated portion of the market
Unilateral refusal to deal
-Also knows as the Colgate Doctrine
- Is not a violation of Section 1 because there is no concerted action with others
- When a firm chooses not to deal with another party
When two competing manufacturers of a similar product both separately reach an independent decision not to deal with a retailer
-There is not violation of Section 1 of the Sherman Act.
holds that two or more persons may petition the executive, legislative, or judicial branch of the government or administrative agencies to enact laws or to take other action without violating anti-trust laws.
a merger between two or more companies that compete in the same business and geographical market.
A merger that integrates the operations fa supplier and a customer.
Exp. Furniture manufacturer acquires furniture stores
Market extension merger
A merger between two companies in similar fields whose sales do not overlap.
Exp. Soft drink manufactures and orange juice producer
Backward verticle merger
A vertical merger in which the customer acquires the supplier
Forward verticle merger
A vertical merger in which the supplier acquires the customer
A merger that does not fit into any other category
Ex. Wal-Mart buying Almost Death Row Records
Unfair advantage theory
A theory that holds that a merger may not give the acquiring firm an unfair advantage over its competitors in finance, marketing, or expertise
When a seller refuses to sell a product to a customer unless the customer purchases a second product a ____ arrangement occurs.
FTC Act Section 5
Prohibits unfair methods of competition and unfair or deceptive acts or pactives.
Defenses to Price Discrimination are:
-Meeting the competition
Exemptions from Antitrust are:
Department of Justice
Federal and state statues and regulation that promote product safety and prohibit abusive, unfair and deceptive business practices
"Let the buyer beware"
U.S Department of Agriculture
federal administrative agency responsible for regulating meat, poultry, and other food products.
Nutrition Labeling Act
Requires food manufactures to label foods
Food, Drug, and Cosmetic Act
Provides the basis for the regulation of much of the testing manufacture, distribution and sale of foods, drugs, cosmetics, and medicinal products.
Requires all genetically altered foods be labeled as such.
Food and Drug Administration
Drug Amendements to the FDCA are:
-Enacted in 1962
Gives the FDA broad powers to license new drugs in the U.S
Consumer Product Safety Comminsion is
Regulates potentially dangerous consumer products
-Created by the Consumer Product Safety Commision
Requires creditors make certain disclosure to debtors in consumer transactions and real estate loans
Fair Credit Reporting Act
Protects a consumer who is the subject of a credit report by setting guidelines.
Consumer Leasing Act
The CLA applies to lessors who engage in leasing for consumer goods in the ordinary course of their business.
Fair Debt Cololection Practices Act
Protects consumer debtors from abusive, deceptive, and unfair practices used by debt collectors.
Fair Credit and Charge Card disclosure Act
Requires disclosure of credit terms on credit card and charge cards.
Dodd-Frank Wall Street Reform and Consumer Protection Act
-Enacted in 2010
-Was the most extensive financial reform law since the Great Depression
-Regulates consumer credit and mortgage lending
-National Envrionmental Policy Act
-A federal statue that mandates that the federal government consider the adverse impact a federal government action would have on the environment before the action is implemented.
Clean Air Act
-provieds a comprehensive regulation of air quality in the U.S
A document that must be prepared for any proposed legislation or major federal action that significantly affects the quality of the human environment.
Environmental Protection Agency
Stationary and mobile pollution sources:
Stationary: Industrial plants, oil refineries, public utilities
Mobile: Cards, Airplanes, buses etc.
-National ambient air quality standards
-Directed by the EPA
-Standards are set at two different levels: Primary (humans) and secondary (Vegetation, climate, and economic)
Areas that are inundates or saturated by surface water or ground water that support vegetation typically adapted for life in such conditions.
area that does not meet established air quality standards.
Heated water or material discharged into waterways the upsets the ecological balance and decreases oxygen content.
Safe drinking water Act
-Enacted in 1974 (amended in 1986)
-Authorizes the EPA to establish national primary drinking water standards
-Prohibits the dumping of wastes into wells.
-States of responsible for enforcing the act.
Pollution of the land that is generally causes by hazardous waste being disposed of in an improper manner.
Insecticide, Fungicide and Rodenticide Act
A federal statue that requires pesticides, herbicides, fungicides, and rodenticides to be registered with the EPA.
-EPA may deny, suspend, or cancel registration
Toxic Substance Control Act.
-A federal state that authorizes the EPA to regulate toxic substances
-Resource Conservation and Recovery Act
-A federal statue that authorizes the EPA to regulate facilities that generate, treat, store, transport, and dispose of hazardous wastes.
-Comprehensive Environmental Response, Compensation, and Liability Act
- A federal statue that authorizes the federal government to deal with hazardous wastes.
-Creates a monetary fund to finance cleanup
Nuclear Waste Policy Act
-Enacted in 1982
- Mandates that the federal government select a permanent site for the disposal of nuclear wastes
-Enacted in 1973
-Protects endangered and threatened species of wildlife
-The secretary of the interior is able to declare a form of wildlife endangered.
Workers Compensation Acts
were enacted by states in response to the unfairness of injured workers.
Workers Compensation Insurance
The Occupation Safety and Health Administration is a federal administrative agency that administers and enforces the Occupational Safety and Health Act.
Fair Labor Standards Act
- Protects workers from abuses and sets pay standards.
1. Child labor
2. Minimum Wage
4. Exempt workers
Specific duty standards
Safety standards for specific equipment or a specific industry.
General duty standard
Impose a general duty on employers to provide safe working conditions.
Child Labor Act
The FLSA (Fair Labor Standards) forbids the use of illegal child labor.
- The U.S Department of Labor defines illegal child labro.
7.25 hr was set in 2010.
-Is set by Congress but States may set minimum wages higher.
YOU MIGHT ALSO LIKE...
Legal 2 FINAL
Bus. Law exam from last year
Business Law 2 - Test 3
Business Law 2 Exam #4 (Wilson)
OTHER SETS BY THIS CREATOR
Account Test III Revised
Accounting Test 3