Hardware retailers Deuce Hardware Co.and Trueblue Hardware Corp.agreed to a schedule of maximum prices that they will pay to hardware wholesalers with whom they deal.What is the most likely stance that the Supreme Court will take under these circumstances?

A) Their action will be deemed unlawful according to the rule of reason analysis.
B) Their action will be deemed lawful because only sellers can be guilty of price-fixing.
C) Their action will be deemed lawful if their agreement results in savings to consumers.
D) Their action will be deemed unlawful according to the per se analysis.

Question

Karan Giare · Accepted Answer

Final Answer : D, Explanation :  Through their agreement,Deuce and Trueblue are trying to interfere with market forces and control prices (a case of horizontal price-fixing).The Supreme Court continues to adhere to the long-standing rule of per se illegality for any form of horizontal price-fixing.

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