Celler-Kefauver Act

AAA

DEFINITION of 'Celler-Kefauver Act'

One of several U.S. laws designed to prevent certain mergers and acquisitions which would lead to the creation of a monopoly or otherwise significantly reduce competition. The Celler-Kefauver Act was passed in 1950 to create additional restrictions in addition to the Clayton and Sherman Antitrust Acts.

INVESTOPEDIA EXPLAINS 'Celler-Kefauver Act'

Former antitrust legislation provided controls on certain mergers and acquisitions, but only in the case of buying outstanding stock. Antitrust rules could thus be largely circumvented by only buying the assets of the target corporation. The Celler-Kefauver Act prevents this work-around measure thus strengthening anti-trust rules in the United States.

RELATED TERMS
  1. Sherman Antitrust Act

    Anti-monopoly U.S. legislation which attempted to increase economic ...
  2. J. D. Rockefeller

    One of the great entrepreneurs in American history, J.D. Rockefeller ...
  3. Antitrust

    The antitrust laws apply to virtually all industries and to every ...
  4. Imperfect Competition

    A type of market that does not operate under the rigid rules ...
  5. Clayton Antitrust Act

    An amendment passed by the U.S. Congress in 1914 that provides ...
  6. Asset Valuation Review (AVR)

    A process that establishes an estimate of the value of a failed ...
Related Articles
  1. The History Of Economic Thought
    Economics

    The History Of Economic Thought

  2. A History Of U.S. Monopolies
    Personal Finance

    A History Of U.S. Monopolies

  3. Antitrust Defined
    Personal Finance

    Antitrust Defined

  4. The 5 Most Feared Figures In Finance
    Personal Finance

    The 5 Most Feared Figures In Finance

comments powered by Disqus
Hot Definitions
  1. Correlation

    In the world of finance, a statistical measure of how two securities move in relation to each other. Correlations are used ...
  2. Letter Of Credit

    A letter from a bank guaranteeing that a buyer's payment to a seller will be received on time and for the correct amount. ...
  3. Due Diligence - DD

    1. An investigation or audit of a potential investment. Due diligence serves to confirm all material facts in regards to ...
  4. Certificate Of Deposit - CD

    A savings certificate entitling the bearer to receive interest. A CD bears a maturity date, a specified fixed interest rate ...
  5. Days Sales Of Inventory - DSI

    A financial measure of a company's performance that gives investors an idea of how long it takes a company to turn its inventory ...
  6. Accounts Payable - AP

    An accounting entry that represents an entity's obligation to pay off a short-term debt to its creditors. The accounts payable ...
Trading Center