Under U.S. law, it is illegal for a company to take anti-competitive actions against another company in order to monopolize or attempt to monopolize a market. Monopolies are heavily discouraged and regulated in the United States because they often lead to high prices that then burden consumers. Antitrust may also occur through horizontal and/or vertical boycotts between the manufacturer and a buyer company. Competition is protected through antitrust law, which prevents companies from purposely taking action to shut out other companies from a given market.
Unfair Competition
When a company believes that they are being victimized by anti-competitive tactics, they may have legal grounds to file a lawsuit against the competition. Likewise, consumers may pool together to file a class-action lawsuit against an offending company.
Unfair competition is illegal in the United States, and a lawsuit makes it publicly known that one company is taking anti-competitive action against another. Consumers involved in the lawsuit may also be compensated for their efforts.
Taking Action
Without appropriate competition, a company is able to fix prices and demand as high a price as it wants from consumers. Under a monopoly prices may skyrocket, giving consumers fewer choices for a much higher price. Competition is healthy and forces companies to compete for the favor of consumers and also spurs better quality products and ongoing development. If you believe that a company has been using anti-competitive tactics against other companies in an industry, consider consulting with an antitrust lawsuit lawyer about taking legal action through a class-action lawsuit.
For More Information
Unlawful monopolies can hurt pricing, consumers, and the future of an industry by reducing competition in the market. To learn more about taking action against anti-competitive companies and filing an antitrust lawsuit, contact us at Burk Law Firm, P.C. today by calling 512-306-9828.