Fact pattern 17-2
Number One Oil Company sells gas to various gas stations.Number One requires that the gas stations agree that they will not sell gas above a certain maximum price set by Number One.Some of the gas stations are unhappy with the arrangement because they wish to sell gas at any price they choose.Unfortunately for them,other oil companies in the region also impose maximum price restrictions.The station owners begin investigating whether any antitrust violation could be involved.
-Refer to fact pattern 17-2.Which of the following is true regarding whether the imposition of maximum prices would be an antitrust violation?

Question

Quizplus · Accepted Answer

The imposition of maximum prices is not per se illegal under federal antitrust law, but instead is evaluated using a rule of reason approach. This means that the court will consider the procompetitive and anticompetitive effects of the pricing restrictions and determine whether they harm competition more than they benefit it. As such, the station owners would need to show evidence of harm to competition in order to successfully argue that the imposition of maximum prices is an antitrust violation.

Fact Pattern 17-2 Number One Oil Company Sells Gas to Various Gas Stations.Number