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Essay about Sherman Anti-Trust Act (Constitutional Law)

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Re: Sherman Antitrust Act

Facts
John Davison Rockefeller was the founder of Standard Oil Company in 1870 and ran it until he retired in 1897. Standard Oil gained almost complete control over the oil refining market in the United States by underselling its competitors. Rockefeller and his associates owned dozens of corporations operating in just one state.
The Sherman Antitrust Act was enacted on July 2nd, 1890 which prohibits activities that restrict interstate commerce and competition in the marketplace.

Issue Cal Hockley owns numerous steel mills in 1912. Cal believed that if he was taken to court for breaking the Sherman Antitrust Act that his lawyers would simply argue that Cal is not in violation …show more content…

Furthermore, the “ subjectmatters of the combination and the combination itself are not excluded from the scope of the act as being matters of intrastate commerce and subject to state control.”
In Standard Oil Co. v. United States, 221 U.S. 1 (U.S. 1911) Standard oil and 37 other corporations were alleged to have engaged in conspiring to restrain the trade in petroleum and monopolize the petroleum industry. The Supreme Court ruled that combining the defendants oil companies’ stock to be a restraint of trade and an attempt to monopolize the oil industry and maintain dominance and therefore a violation of the Sherman Antitrust Act.
Furthermore, in Standard Oil Co., the Supreme Court stated that “The term "monopoly,"… as used in the Sherman Act was intended to cover such monopolies or attempts to monopolize as were known to exist in this country; those which were defined as illegal at common law by the States, when applied to intrastate commerce.” The Supreme Court went on to further state that “the principles of the common law applied to interstate as well as to intrastate commerce.”

Analysis In the issue of Cal Hockley’s steel mills, it is clear that the courts would find Cal Hockley in violation of the Sherman Antitrust Act, even though the conduct

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