Sherman Act

The 1890 statute founding American antitrust law

Overview

The Sherman Act outlawed contracts in restraint of trade and monopolization, criminalizing conduct that had alarmed the populist era of trusts. Early enforcement was faint until the Standard Oil and American Tobacco breakups of 1911, and doctrine split conduct into per se violations and rule of reason analysis. It anchors a competition regime that now polices platforms and pharma, and its influence echoes in competition statutes on every continent, from the EU treaty rules to modern Chinese antitrust. Violations can bring criminal prosecution and private treble damages, triple the proven loss, a uniquely American multiplier.