Also known as: monopolium · monopolization · monopolize · monopolized · monopolizes · monopolizing · monopolies · monopolisation
Written by attorneys · grounded in primary & secondary sources — see below
Control or domination of a market by a single entity that permits pricing or exclusion of rivals without regard to ordinary competitive forces.
Harbor Utilities, the sole provider of electric service in its Texas territory, disconnected Stuart after he fell behind on payments under commission-approved rules. Stuart claimed the cutoff violated due process because the state-created monopoly turned the company into a state actor. The court rejected the claim, holding that monopoly status and rate regulation alone supplied no direct state involvement in the termination decision.
Pacific Gas and Electric challenged a California statute that blocked new nuclear plants until the state energy commission certified adequate waste storage. The utility argued the law invaded the federal field of nuclear safety. The Court sustained the statute on federalism grounds.
Select any source to read its text and confirm it supports the definition.
Alfonso Lopez was charged under the federal Gun-Free School Zones Act after bringing a handgun to his high school. He argued Congress lacked authority to criminalize local possession. The Court agreed, holding that the statute did not regulate economic activity.
Panama Refining challenged an executive order that limited production of hot oil under the National Industrial Recovery Act. The company contended the delegation gave the President unchecked power to create monopoly conditions in the petroleum market. The Court struck down the provision as an impermissible transfer of legislative authority.
Schechter Poultry was convicted for violating wage and hour rules in the live-poultry code promulgated under the National Industrial Recovery Act. The firm argued the code created an unlawful monopoly over industry standards. The Court held the delegation excessive because it allowed private trade groups to impose monopoly-like restraints without statutory limits.
The Sierra Club sued the EPA over a final rule on power-plant emissions, alleging improper influence from industry meetings after the comment period closed. The court examined whether those contacts distorted the rulemaking record. It upheld the rule, finding that the contacts did not require reopening the proceeding.
No. Heavy regulation and an exclusive service territory do not convert a privately owned utility into a state actor. Direct state involvement in the specific challenged action is required before constitutional limits apply.
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A covenant is unenforceable if its purpose, geographic scope, and duration combine to control or dominate a market and substantially restrict competition. The analysis focuses on whether the restraint leaves adequate land or outlets for rivals.
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Yes, when the service is a utility with little opportunity for price gouging and land is customarily bundled with a single provider. The tying arrangement is valid because the personal element is minimal and competition is not substantially lessened.
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A natural monopoly exists when high entry costs and the impracticality of duplicate facilities allow only one firm to serve the market efficiently. Regulators therefore set rates rather than relying on competition to control prices.
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…trademark registration). In United States v. E. C. Knight Co. , 156 U. S. 1 (1895), this Court held that mere attempts to monopolize the manufacture of sugar could not be regulated pursuant to the Commerce Clause. Raising echoes of the discussions of the Framers regarding the intimate relationship between commerce and…