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Anti-Trust a Topic of Interest in Topeka

02/26/2013

A new legislative year brings up old concerns for anti-trust issues in Topeka. Senate Bills 123 & 124 addresses anti-trust laws and removing such laws in the state of Kansas. KCA opposes each of the Senate bills (SB 123 and SB 124) and is actively encouraging legislators to maintain support for the current Kansas Restraint of Trade Act.

This law was put in place over 100 years ago to encourage competition and to allow consumers to receive quality products at reasonable prices without price fixing from large companies.

Some have made the argument, especially in agriculture, that without amending or repealing this law, producers will not be able to market their livestock or grains. That is simply not true. Livestock producers and farmers will still be able to market their products. Instead, SB 123 and SB 124 will shield illegal price depressing contracts from anti-trust laws and give producers no opportunity to protect themselves against illegal monopsonies. Enforcing the current law is important to maintaining competitive trade and pricing in agriculture and to the consumer.

By amending or repealing this law, you will allow companies to commit an injustice without any consequences. If someone commits a crime against one person in a church, that person should be found guilty, and there should not have to be proof that it harmed everyone in that church. That is an example of what you are allowing to happen if you pass SB 123 and SB 124.

Under the current law, large retailers are not allowed to fix prices and coerce consumers to depress the market and diminish competition. By removing this law, it will break down the competition at the cost of consumers. Rural, independent, and small businesses deserve every tool to compete with multi-national, billion dollar companies.

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