The California Chamber of Commerce has expressed opposition to recent recommendations by the California Law Revision Commission to amend the state’s antitrust law and introduce a new Single Firm Conduct policy. The statement follows the Commission’s approval of legislative language that would bring significant changes to how single-company business practices are regulated in California.
In its statement, the Chamber said: “California businesses take seriously their responsibility to operate and grow under the rules of a fair marketplace. But they also expect government officials to clearly identify problems before proposing purported solutions — especially the kind of sweeping changes now being suggested to the state’s antitrust law.
“The California Law Revision Commission has failed to meet that expectation.
“The Commission’s efforts, in response to a 2022 legislative directive, never produced any study to support the claim that California consumers and businesses are suffering from reduced competition because of a lack of state-specific rules governing the conduct of a single company in selling its products or services.
“Instead, the Commission has proposed a law with poorly defined terms, lacking standardized tests for wrongdoing, and relying on a presumption of illegal activity when it comes to a number of business practices that are widely considered typical and benefit consumers by offering better services and prices.
“The chilling effects would be substantial, delivering a devastating blow to California’s innovation economy and resulting in a sharp increase in litigation and consumer prices.
“It would be the antithesis of affordability.
“A rushed, go-it-alone approach for our state threatens to create a fragmented national business landscape. California would be less attractive to the entrepreneurs whose success is essential to our future prosperity.”
The California Chamber of Commerce represents employers across California as a nonprofit advocacy organization. It works on promoting economic growth, supporting job creation, and providing resources such as compliance tools and legal updates for member businesses. The organization was established in 1890 by business leaders aiming to foster economic growth. Headquartered in Sacramento, it has influenced major legislation through initiatives like its Job Killer and Job Creator lists over more than 130 years.
