Written by attorneys · grounded in primary & secondary sources — see below
A combination of producers or sellers that join together to control a product's production or price. An association of firms with common interests may also seek to prevent extreme or unfair competition, allocate markets, or share knowledge.
Sources & Authorities· 13 primary sources
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Cases
Uniform Acts
How it applies
Common Examples
6
Price-Fixing Among Suppliers
Christine Castro and several other manufacturers formed a cartel to set uniform prices on goods sold to retailers. The group coordinated output levels to maintain those prices across multiple states. Retailers who purchased from the cartel members faced higher costs as a direct result.
Market Allocation by Competitors
Chloe Chen led a cartel of regional distributors that divided geographic territories to avoid price competition. Each member agreed to serve only its assigned area and to share customer data. The arrangement stabilized prices but reduced consumer choice in each territory.
Production Quotas in Manufacturing
Claire Campbell organized a cartel among steel producers that imposed strict production quotas on each participant. The members monitored compliance through shared reports and penalized any firm that exceeded its limit. Prices for steel remained elevated as a result of the coordinated restraint.
Cynthia Cortez coordinated a cartel of construction firms that submitted complementary bids on public contracts. The members rotated winning bids according to a prearranged schedule. The scheme ensured each participant received a share of the work at inflated prices.
Output Restriction Among Miners
Cody Callahan formed a cartel with other mining companies to limit total coal production each quarter. The participants agreed on output ceilings and monitored shipments to enforce the limits. The reduced supply caused coal prices to rise steadily in the regional market.
Information Sharing Among Railroads
Curtis Cannon established a cartel of railroad operators that exchanged detailed rate and route data. The members used the shared information to align pricing and avoid undercutting one another. Shippers paid higher freight charges as competition diminished.
Common questions
Frequently Asked
1
What is the primary legal concern raised by a cartel?+
A cartel raises antitrust concerns because the coordinated control of prices or output restrains competition and harms consumers through higher prices or reduced choices.
576 U.S. 644 (2015)Legislation and Regulation
…that laws excluding same-sex couples from the marriage right impose stigma and injury of the kind prohibited by our basic charter. Pp. 23–27. (d) The Fourteenth Amendment requires that the States license and recognize same-sex marriages. The judgment of the Court of Appeals for the Sixth Circuit is reversed, and…