Sherman Anti-Trust Act

by Kristina Ludanova

What is it?

  • trust - a combination of companies formed to limit competition by controlling the production and distribution of products or services
  • the Act was the first measure that prohibited abusive monopolies/trusts
  • passed in 1890
  • result of public opposition of power being concentrated in a few large corporations
  • largest opposition group was farmers, because it was expensive for them to transport their products on railroads
  • based on the Constitutional power of Congress to regulate commerce

The Author of the Act

  • written by John Sherman
  • younger brother of William Tecumseh Sherman, an American Civil War General
  • John was a US Senator from Ohio and served in many top government positions, such as Secretary of State and Secretary of the Treasury
  • expert on regulations of commerce

So how does this relate to sports?

  • prevented abusive monopolies in sports
  • however, baseball was exempt, because the court ruled that baseball didn't qualify as interstate commerce

Detailed Explanation of Monopolies and the Anti-Trust Act

Monopolies And Anti Trust Acts