What law is violated when two companies conspire to list at the same listing price?

When two companies conspire to list at the same listing price, they are potentially violating the Sherman Anti-Trust Act. This federal statute is designed to prohibit monopolistic behaviors and collaborations that restrain trade and commerce. Colluding to set prices undermines competition, which is a key element of the free market.

The Sherman Anti-Trust Act specifically targets agreements between businesses that can lead to price-fixing, thereby disrupting typical competitive practices where prices are determined by supply and demand. By conspiring to maintain the same listing price, the companies restrict price competition, which can harm consumers by limiting their choices and maintaining inflated prices.

In contrast, other laws mentioned, such as the Clayton Act, primarily focus on preventing anti-competitive mergers and acquisitions or specific discriminatory pricing practices, while the Federal Trade Commission Act addresses unfair or deceptive business practices. The Robinson-Patman Act deals with price discrimination in sales, but it does not directly pertain to collusion on pricing between companies. The focus on collusion and price-fixing distinctly places the violation under the Sherman Anti-Trust Act.