rule of reason


Also found in: Wikipedia.

rule of reason

the individual investigation of elements of MARKET CONDUCT (for example, RESTRICTIVE TRADE AGREEMENTS) and MARKET STRUCTURES (MERGERS) under a DISCRETIONARY COMPETITION POLICY to determine whether or not their economic effects are, on balance, beneficial or detrimental.
References in periodicals archive ?
After giving a brief history of the Sherman Act, Part I of this Note will chronicle the birth of the rule of reason in the early 1900s, detail the rise of the per se rule in the mid-twentieth century, and describe how the rule of reason has been applied since the late 1970s.
District Court for the District of Utah ruled the customer allocation alleged in the indictment would be tried under the rule of reason. The Division appealed the decision to the Tenth Circuit.
formative era (1890-1911); (2) the first rule of reason era (1911-1935);
His topics include on intellectuals, prejudice, and understanding of the social world; spreading the rule of reason: liberal imaginings of Wahhabism; and those evil and violent savages: the neoconservative assault on Wahhabism, Saudi Arabia, and the Palestinian struggle for self-determination.
implications for Sherman Act cases under the rule of reason.
Actavis, Inc., by rejecting the scope of the patent test providing blanket immunity for reverse payment settlements absent sham or fraud, and adopting traditional antitrust considerations for evaluating the legality of reverse payment agreements under the rule of reason. (7) The Court endorsed reverse payment causes of action in which the brand manufacturer makes a "large and unjustified" settlement payment to the alleged infringer because such conduct "bring[s] with it the risk of significant anticompetitive effects." (8)
Generalizing the rule of reason will allow for faster antitrust law sophistication than other developments, such as Resale Price Maintenance (RPM).
(41) The rule of reason is the prevailing standard of antitrust analysis, and courts apply it to agreements challenged by [section] 1.
As opposed to per se violations which are illegal by themselves without need of further inquiry into their actual effect on competition or intentions of the parties charged with the violation, non-per se violations are subject to a rule of reason analysis.
The case brought up the Rule of Reason as applied to the Sherman Antitrust Act and the issue of the restraint of trade.
Although the rule of reason was anticipated by Presocratic philosophers such as Xenophanes, Heraclitus, and Anaxagoras, Plato was the first to articulate it through a series of principles:
Courts reviewing such agreements should proceed by applying the 'rule of reason,' rather than under a 'quick look' approach,"Justice Stephen Breyer wrote."...