The term "collusion" has no specific legal meaning in criminal law; there's no such criminal charge called "collusion," nor does the term necessarily signal a criminal offense. Federal and state governments have antitrust laws in place to thwart actions that would restrain trade or create an unfair advantage in the marketplace. Antitru…
The term "collusion" has no specific legal meaning in criminal law; there's no such criminal charge called "collusion," nor does the term necessarily signal a criminal offense. Federal and state governments have antitrust laws in place to thwart actions that would restrain trade or create an unfair advantage in the marketplace. Antitrust laws often are invoked when large companies merge and squeeze out other, smaller competitors. But since competition generally results in lower prices and thus benefits consumers, large companies may be tempted to collude together instead by agreeing not to go below a certain price point. This illegal activity is called "price-fixing."
The term "collusion" has no specific legal meaning in criminal law; there's no such criminal charge called "collusion," nor does the term necessarily signal a criminal offense. Federal and state governments have antitrust laws in place to thwart actions that would restrain trade or create an unfair advantage in the marketplace. Antitrust laws often are invoked when large companies merge and squeeze out other, smaller competitors. But since competition generally results in lower prices and thus benefits consumers, large companies may be tempted to collude together instead by agreeing not to go below a certain price point. This illegal activity is called "price-fixing."