Movie producers A, B, and C secretly meet and agree to release their summer blockbuster films in sequence, rather than at the same time. The U.S. Justice Department learns of the agreement and files an antitrust suit. The federal government would most likely file charges under the
A) Sherman Act, Section 1.
B) Sherman Act, Section 2.
C) Clayton Act.
D) Federal Trade Commission Act.

Question

Quizplus · Accepted Answer

Section 1 of the Sherman Act prohibits agreements among competitors that restrain trade or commerce. In this case, the three movie producers have agreed to release their films in sequence, which could limit competition and consumer choice in the marketplace. Therefore, the federal government is most likely to file charges under Section 1 of the Sherman Act.

Movie Producers A, B, and C Secretly Meet and Agree