The proposed Fair Competition Act aims to enhance consumer protection by regulating monopsony power, prohibiting certain price increases, and addressing price discrimination. Key provisions include the definitions of "monopoly power," "monopsony," and "monopsony power," which clarify the conditions under which a firm can control prices or exclude competition. The bill amends existing statutes to establish that the use of monopoly or monopsony power for manipulating competition or prices is unlawful, and it introduces civil and criminal penalties for violations. Notably, the bill also includes new enforcement authority for the attorney general to investigate and take action against violations.

Additionally, the bill introduces a new section prohibiting "unconscionably excessive prices," defining such prices as those exceeding ten percent above average market rates. It allows for exceptions if price increases are due to significant external costs and do not increase profits. The legislation also addresses price discrimination in commercial transactions, making it unlawful to discriminate in pricing between different purchasers if it lessens competition or creates monopolistic conditions. The bill repeals an existing statute on discrimination, streamlining the legal framework for addressing unfair competitive practices.

Statutes affected:
Introduction: 325D.50, 325D.52, 325D.53, 325D.54, 325D.56, 325D.64, 325D.03