An antitrust law passed in 1914 that prohibits a variety of pricing violations, such as discriminatory rebates, pricing or discounts that favor one group of customers over another. Section 7 of the Clayton Act prohibits mergers if the effect would be to substantially lessen competition or to create a monopoly. Within that section, the Hart-Scott-Rodino Act requires prior notification of mergers over $50 million to both the Federal Trade Commission (FTC) and the Justice Department, who are jointly charged with monitoring compliance. The $50 million will adjust beginning October 1, 2004 to take into account changes in the U.S. economy, based on gross national product from the previous year. Although the Clayton Act was passed in 1914, it has been updated and amended, including the Hart-Scott-Rodino Act, which was passed in 1976.
Clayton Act - Investment & Finance Definition
Webster's New World Finance and Investment Dictionary Copyright © 2010 by Wiley Publishing, Inc., Indianapolis, Indiana.
Used by arrangement with John Wiley & Sons, Inc.
Used by arrangement with John Wiley & Sons, Inc.
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MLA Style
"Clayton Act." YourDictionary, n.d. Web. 13 October 2018. <http://www.yourdictionary.com/clayton-act>.
APA Style
Clayton Act. (n.d.). Retrieved October 13th, 2018, from http://www.yourdictionary.com/clayton-act
clayton act - Legal Definition
n
A federal statute, adopted
in 1914, that amends the Sherman Antitrust Act and prohibits certain business
practices, such as price discrimination as well as particular mergers and
acquisitions, if the practice might substantially reduce competition or create
a monopoly in a line of commerce. See also antitrust
law and Sherman Antitrust Act.
Webster's New World Law Dictionary Copyright © 2010 by Wiley Publishing, Inc., Hoboken, New Jersey.
Used by arrangement with John Wiley & Sons, Inc.
Used by arrangement with John Wiley & Sons, Inc.
Link to this page
Cite this page
MLA Style
"Clayton Act." YourDictionary, n.d. Web. 13 October 2018. <http://www.yourdictionary.com/clayton-act>.
APA Style
Clayton Act. (n.d.). Retrieved October 13th, 2018, from http://www.yourdictionary.com/clayton-act
