Certified Materials and Resource Professional Practice

The Robinson-Patman Act primarily outlaws price discrimination, which refers to the practice of selling the same product to different buyers at different prices in a way that harms competition. Enacted in 1936 as an amendment to the Clayton Act, it aims to protect small businesses from unfair pricing practices by larger companies. The Act ensures that sellers cannot discriminate in price among purchasers of goods of like grade and quality, thereby promoting fair competition in commerce.

While the other listed practices are related to competition laws, they are addressed under different statutes. Price fixing is generally governed by antitrust laws that prevent collusion among competitors. Market monopolization is also tackled by antitrust laws designed to prohibit anti-competitive practices that lead to a monopoly power. False advertising is regulated under consumer protection laws that ensure companies do not misrepresent their products or services. Each of these areas is significant in its own right, but the Robinson-Patman Act specifically focuses on the issue of price discrimination.