1 page essay

Antitrust laws are enforced in both the public and the private sectors. The Department of Justice and the Federal Trade Commission enforce antitrust laws in the public sector. Any individual who has been injured by an illegal business practice may bring a private suit against the business.

   Legal Principle:  Any individual who has been injured by an illegal business practice may bring a private suit against a business engaging in antitrust behavior.

PUBLIC ENFORCEMENT

Some violations of the Sherman Act are criminal acts; thus, the Antitrust Division of the DOJ can bring criminal or civil actions against violators. If a corporation commits a crime under the Sherman Act, the corporation could face a $10 million fine for each offense. Furthermore, officers and employees who are convicted under the Sherman Act face a maximum fine of $350,000 and/or jail time of up to three years.

   No violations of the Clayton Act are crimes, so the DOJ or the FTC can bring a civil action against violators under the Clayton Act. Part of the DOJ's power to bring civil suits includes the ability to request divestiture or dissolution. Divestiture occurs when the DOJ requests that the court force a company to give up part of its operation procedures. For example, a court could order a firm that sells all of its products out of stores it owns to sell off the stores or allow other firms' products to be sold in the stores. The FTC has sole authority for investigating and making claims against those who violate the Federal Trade Commission Act. When either the DOJ or the FTC makes a civil claim against a potential violator, the parties may decide to settle the case by entering into a consent decree An agreement that binds the violating party to cease his or her illegal behavior., an agreement that binds the violating party to cease his or her illegal behavior.

E-COMMERCE AND THE LAW

Microsoft’s Monopoly In 1998 Microsoft Corporation was charged with violating Sections 1 and 2 of the Sherman Act. According to the plaintiff, Microsoft possessed a “dominant, persistent, and increasing share of the relevant market.” Microsoft's share of the market for Intel-compatible PCs was over 95 percent. To maintain its monopoly power, Microsoft convinced developers to concentrate on producing Windows-specific platforms. As a result, Microsoft's competition was unable to reach its full potential because the available technologies did not exist. Microsoft also bundled its browser, Internet Explorer, with its operating system. This action was a result of Microsoft's desire to combat competition from rival browser Netscape Navigator. The plaintiff, the U.S. DOJ, argued that Microsoft violated Section 2 of the Sherman Act by engaging in exclusionary, anticompetitive, and predatory acts to maintain a monopoly. The court ruled in favor of the plaintiff, which contended that Microsoft had violated Sections 1 and 2 of the Sherman Act by tying its browser to its operating system and attempting to monopolize the Web browser market.

Read the attached article. What are your thoughts regarding Monopolies? Do you think Microsoft still runs a Monopoly? Why should they be penalized for having “all the ideas”? Do you think Google is now going to take over the world of Microsoft? Tell me what you think the differences are between Google and Microsoft.

Use your computers to research any information you feel will assist your findings. You must reference your sources when you cut and paste. Most of the questions are looking for your thoughts; put the paper in your own words.

The paper must be 1-2 pages. No more than 2 please.