TITLE: ANTITRUST LAWS
POLICY NO: P-030
SUBMITTED BY: C. CONNER
APPROVED BY: D. SABEL
Effective Date: 06/07
Revised: 09/2013
I.
Supersedes No: 06/93
Page No 1 of 2
Purpose
The purpose of this policy is to provide guidance to employees engaged in the
procurement function concerning antitrust laws.
II.
Scope
This policy applies to all employees.
III.
Antitrust
Antitrust refers to, or relating to legislation or opposition to trusts or
combinations; specifically consisting of laws to protect trade and commerce from
unlawful restraints and monopolies of unfair business practices.
Note that a trust is a combination of firms or corporations formed by a legal
agreement; especially one that reduces or threatens to reduce competition.
The policy of the University is to comply with the letter and spirit of all laws
applicable to the University.
Violations of the antitrust laws may have far-reaching effects, causing substantial
injury to the University in lengthy and expensive litigation, treble damage liability
and injunctions on orders affecting property and/or business. An employee who
participates in violation is individually and personally subject to fine or
imprisonment.
Compliance with these laws depends on the conduct of the University’s
employees occupying positions of responsibility.
It is, therefore, the policy to comply strictly in all respects with the antitrust laws.
There shall be no exception to this policy, nor shall it be compromised or
qualified by anyone acting for or on behalf of the University.
Each employee responsible for the University’s conduct or practices, which may
involve the application of the antitrust laws, should consult and be guided by the
advice of the Executive Vice President and Treasurer’s legal counsel.
TITLE: ANTITRUST LAWS
POLICY NO: P-030
SUBMITTED BY: C. CONNER
APPROVED BY: D. SABEL
Effective Date: 06/07
Revised: 09/2013
Supersedes No: 06/93
Page No 2 of 2
Should an employee acting in good faith for the University, nevertheless become
involved in an antitrust proceeding, the University will be prepared to assist the
employee to the extent possible, including retention of counsel for defense in the
case.
Each employee is obligated to adhere to the above policy. The procurement
employee is not expected to have the knowledge of a lawyer, but is expected to be
guided by past practices and policies and by common sense. When faced with a
new problem with unknown legal implications, the Procurement Professional is
expected to refer to his/her supervisor for advice and handling.
IV.
Robinson Patman Act
It is also policy to purchase goods and services on the basis of price, quality,
terms, and services.
Personnel performing a procurement function shall not demand or negotiate a
special pricing structure from a supplier that the supplier is not willing to offer to
other customers under similar conditions and terms.
The legal counsel, through the Director of Procurement Services, should be
consulted prior to taking action when in doubt about application of this policy to
any activity.
REFERENCES:
PURCHASING HANDBOOK
By GEORGE ALJIAN
4TH ED, 1981, MCGRAW-HILL BOOK CO
ISBN-0-07-045899-5
SHERMAN ANTITRUST ACT, CH 4, PG 25
ROBINSON PATMAN ACT,
CH 3, PG 10
CH 10, PG 11
CH 11, PG 22
CLAYTON ACT,
CH 11, PG 11
THE LAW OF PURCHASING
EDITOR, WILLIAM A. HANCOCK
BUSINESS LAWS INC., 1981, REVISIONS TO 1/93
ANTITRUST LAWS, CH 16, PP 1-43