Sherman Act Vertical Territorial Agreements

The video discusses the application of antitrust laws under the Sherman Act Section 1, focusing on contracts, conspiracies, and trade restraints. It explains scenarios involving manufacturers and distributors, particularly when exclusive selling rights are granted. The FTC evaluates such situations to determine anti-competitive effects, considering factors like product type and geographic limitations. Courts balance these effects against pro-competitive justifications, considering industry nature and manufacturer size.

What does it mean for a situation to run afoul of the antitrust laws under the Sherman Act?

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How does the FTC evaluate a situation involving exclusive rights to sell a product?

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What factors are considered when determining if there is an anti-competitive effect in the market?

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What are some pro-competitive justifications that might be weighed against competitive effects?

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In what ways can a manufacturer and distributor's agreement be deemed anti-competitive?

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