Business Coalition Opposes Undermining Antitrust Law
Last week, the California Chamber of Commerce joined a broad coalition representing nearly every sector of the California economy in criticizing a newly introduced bill as an extreme proposal to amend the state’s antitrust law.
AB 1776 (Aguiar-Curry; D-Winters), which creates a new Single Firm Conduct policy, “would enshrine in state law the rushed and reckless proposals brought forward by the California Law Revision Commission,” the coalition said in a February 17 statement.
Besides affecting nearly every business across the state, regardless of size, the proposed changes would impose “sweeping ideas to solve problems never actually identified after months of Commission work,” the coalition said.
“The business community believes in the importance of a fair marketplace,” the coalition emphasized. “But we also believe legislators should ask why no economic analysis was conducted.”
Concerns
The coalition urged legislators “seek to validate the assertion that a lack of state-specific rules governing the conduct of any single company has actually harmed Californians through reduced competition.”
In adopting the Commission’s unfinished work, the coalition noted, AB 1776 also:
- relies on poorly defined terms;
- lacks standardized tests for wrongdoing; and
- presumes there is illegal activity when it comes to a number of business practices that are widely considered typical and which benefit consumers by offering better services and prices.
“AB 1776 would significantly deepen California’s affordability crisis, driving costly and unnecessary litigation and consumer costs ever higher and decimating the state’s innovation economy and the jobs that depend on its success,” the coalition concluded.
The coalition’s concerns mirror those raised by CalChamber in earlier statements about the Commission’s work.
Coalition
The following businesses, advocacy organizations, and local chambers of commerce joined CalChamber in its comments on the bill:
• Biocom;
• TechNet;
• California Association of REALTORS®;
• California Food Producers;
• California Life Sciences;
• California Retailers Association;
• Civil Justice Association of California;
• Computer & Communications Industry Association (CCIA);
• Motion Pictures Association;
• Silicon Valley Leadership Group;
• Greater Bakersfield Chamber of Commerce;
• Carlsbad Chamber of Commerce;
• Colusa County Chamber;
• Fontana Chamber of Commerce;
• Greater High Desert Chamber of Commerce;
• Laguna Niguel Chamber of Commerce;
• Lodi Chamber of Commerce;
• Long Beach Area Chamber of Commerce;
• Murrieta/Wildomar Chamber of Commerce;
• North San Diego Business Chamber;
• Oceanside Chamber of Commerce;
• Orange County Business Council;
• San Juan Capistrano Chamber of Commerce;
• Torrance Area Chamber of Commerce;
• West Ventura County Business Alliance;
• Yorba Linda Chamber of Commerce.