Clayton Antitrust Act

Law
15 U.S.C. §§ 12 et seq.  | (1914)

Legal Definition of Clayton Antitrust Act

law enacted to clarify and strengthen the Sherman Antitrust Act (1890). The vague language of the latter had provided large corporations with numerous loopholes, enabling them to engage in certain restrictive business arrangements which, though not illegal per se, resulted in concentrations that had an adverse effect on competition. Whereas the Sherman Act declared monopoly illegal, the Clayton Act defined in some detail varied types of illegal business practices that are conducive to the formation of monopolies or that result from them. Certain forms of holding companies and interlocking directorates are forbidden, as are discriminating freight agreements and the distribution of sales territories among so-called natural competitors. Two sections of the Clayton Act were later amended by the Robinson-Patman Act, 15 U.S.C. § 13c (1936), and the Celler-Kefauver Act, 15 U.S.C. § 18 (1950), to fortify its provisions. The Robinson-Patman Act, 15 U.S.C. §§ 13–13b, 21a (1988), made more enforceable section 2, which relates to price and other forms of discrimination among customers. The Celler-Kefauver Act strengthened section 7, prohibiting one firm from securing either the stocks or physical assets (i.e., plant and equipment) of another firm when the acquisition would reduce competition.

Learn More About Clayton Antitrust Act

Dictionary Entries Near Clayton Antitrust Act

clause

Clayton Antitrust Act

Cl. Ct.

See More Nearby Entries 

Cite this Entry

“Clayton Antitrust Act.” Merriam-Webster.com Legal Dictionary, Merriam-Webster, https://www.merriam-webster.com/legal/Clayton%20Antitrust%20Act. Accessed 28 Sep. 2021.

Style: MLA
MLACheck Mark Icon ChicagoCheck Mark Icon APACheck Mark Icon Merriam-WebsterCheck Mark Icon

WORD OF THE DAY

Test Your Vocabulary

Dog Words Quiz

  • shiba puppy more or less demanding cuddles
  • Which of the following animals has a dog in its etymology?
How Strong Is Your Vocabulary?

Test your vocabulary with our 10-question quiz!

TAKE THE QUIZ
Love words? Need even more definitions?

Subscribe to America's largest dictionary and get thousands more definitions and advanced search—ad free!