Crain’s NY: Advocates push state antitrust overhaul as end of legislative session nears

June 5, 2021 Media

bill that would give New York some of the nation’s strictest antitrust laws is getting a late push in the final days of the state’s legislative session.

The 21st Century Anti-Trust Act—coming as some major tech firms face federal antitrust probes—received a vote of approval Thursday by the Senate’s rules committee. The vote took place the same day that a coalition of 15 labor and policy groups wrote a letter to state lawmakers calling for the passage of the proposed law.

The bill “would provide workers and small businesses with important new protections, putting New York at the vanguard of the national push to ensure that dominant corporations can’t use their power to unfairly drive down wages or block competitors from accessing markets,” said the letter, which was organized by the American Economic Liberties Project.

The new antitrust laws, as drafted by Sen. Michael Gianaris, the Democratic deputy majority leader, would adopt a looser definition of what constitutes market dominance and make it easier to sue companies that command a monopoly. A similar bill in the Assembly remains under committee review.

“In its sweeping broadness, the proposed legislation captures every industry and small business in an unworkable scheme, opening tens of thousands of small businesses to the threat of litigation while simultaneously ignoring the needs of New York’s consumers,” read a Thursday statement from the Business Council of New York State, an Albany-based organization.

In a white paper, the business council further warned that the bill could open up legal challenges to any firm that has a strong position in its local market, such as hospitals or dairy farms.

The American Economic Liberties Project counters that “most small and medium firms simply do not have enough market power to fall under this bill’s purview.”