What legislation prohibits price fixing in real estate?

The Sherman Antitrust Act is the legislation that prohibits price fixing in real estate by making it illegal for businesses to engage in anti-competitive behavior. This act, established in 1890, aims to promote fair competition and prevent monopolistic practices that restrict trade or commerce. In the context of real estate, price fixing can occur when multiple real estate brokerage firms agree to set commission rates or other fees at a certain level, which can harm consumers and distort the market.

By making such practices unlawful, the Sherman Antitrust Act helps ensure that consumers have the freedom to negotiate prices and that competition remains robust, thereby benefiting all participants in the marketplace. This focus on maintaining a competitive environment is crucial in the real estate industry, as it encourages innovation, better service, and fair pricing for consumers.

The other options, while relevant to different aspects of law and regulation, do not specifically address the issue of price fixing in real estate. The Clayton Act complements the Sherman Antitrust Act but focuses on specific practices such as price discrimination and exclusive dealing. The Fair Housing Act is aimed at preventing discrimination in housing, and the Consumer Protection Act is intended to protect consumers from unfair or deceptive business practices but does not specifically cover antitrust violations.