The Sherman Act can apply to acts committed overseas by U.S. corporations if those acts have a significant and intended effect on U.S. commerce. This extraterritorial application is meant to protect U.S. markets from anticompetitive practices, regardless of where they occur.

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The Sherman Act

Question 42

Multiple Choice

The Sherman Act:

A) applies to acts committed overseas by U.S. corporations.
B) would not apply to an act committed in the United States by a foreign corporation.
C) would not apply to an act overseas by a 100 percent-owned foreign subsidiary of a U.S. corporation.
D) never applies to acts committed outside the U.S.

Correct Answer: