Group boycott

In competition law, a group boycott is a type of secondary boycott in which two or more competitors in a relevant market refuse to conduct business with a firm unless the firm agrees to cease doing business with an actual or potential competitor of the firms conducting the boycott.[1] It is a form of refusal to deal, and can be a method of shutting a competitor out of a market, or preventing entry of a new firm into a market.

In the United States, such conduct can be held to violate the Sherman Antitrust Act. Depending upon the nature of the boycott, the courts may apply the rule of reason, a quick look analysis, or hold that the boycott is illegal per se. There is a presumption in favor of a rule of reason standard.[2][3] It may also be considered a form of civil conspiracy.

See also

References

  1. Black's Law Dictionary, 7th ed. 1999
  2. Craftsmen Limousine, Inc. v. Ford Motor Co., vol. 363, May 5, 2004, p. 772, retrieved 2019-01-14, The United States Supreme Court has set forth three methods for analyzing the reasonableness of a restraint on trade: rule of reason analysis, per se analysis, and quick look analysis. The rule of reason is the 'prevailing standard'...
  3. Gurnick, David (1 Sep 2011). Distribution Law of the United States. Juris Publishing, Inc. p. 136-137.
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