Antitrust Status of Farmer Cooperatives: - USDA Rural Development ...

provision, "conviction... shall be punished by fine not exceeding
$10,000, 000 if a corporation, or, if any other person, $350, 000, or by
imprisonment not exceeding three year s, or by both said punishments,
in the discretion of the court. " 55
Second, the U.S. Department of Justice was directed to bring
legal action to prevent and restrain violations. 56
The Sherman Act has changed little since it was enacted. Some
modest amendments have been made to Sections 1 and 2. In 1937,
provisions were added to the first sentence of Section 1 shielding State
fair trade laws from antitrust scrutiny. 57 They were repealed in 1975. 58
Other amendments through the years have strengthened the
penalties. Originally, a violation was a misdemeanor punishable by a
fine of not more than $5,000 and imprisonment not exceeding 1 year. 59
In 1955, the maximum fine was increased to $50,000. 60 In 1974,
violation was changed from a misdemeanor to a felony; separate
maximum fines were established of $1 million for a corporation and
$100,000 for any other person; and the possible prison sentence was
increased to 3 years. 61 In 1990, maximum fines were increased to
current levels, $10 million for corporations and $350,000 for other
offenders. 62
Other Sherman Act provisions are procedural in nature and will
be rarely mentioned herein:
! Sec. 3 makes the act applicable to territories of the United States
and the District of Columbia. 63
55 15 U.S.C. §§ 1, 2.
56 15 U.S.C. § 4.
57 Act of Aug. 17, 1937, ch. 690, title VIII, 50 Stat. 693 (1937).
58 Pub. L . 94-145, § 2, 89 Stat. 801 (1975).
59 26 Stat. 209 (1890).
60 Act of July 5, 1955, ch. 281, 69 Stat. 282 (1955).
61 Pub. L . 93-528, § 3, 88 Stat. 1708 (1974).
62 Pub. L . 101-588, § 4(a), 104 Stat. 2880 (1990).
63 26 Stat. 209, § 3, at 15 U.S.C. § 3.
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