ZELLE'S ANTITRUST IN A NUTSHELL:
1. IS A SERVICE THAT IS PROVIDED BY A GROUP OF DIRECT COMPETITORS IN THE BANKING INDUSTRY
2. IS THE RESULT OF COOPERATION AMONG COMPETITORS WHO COULD NOT ACHIEVE A GOAL INDIVIDUALLY
3. IS OWNED BY THE SAME BANKS THAT ALL PAYMENT COMPANIES MUST DEPEND ONTO PROVIDE SERVICE
4. HAS A HUGE ADVANTAGE OVER THE COMPETITION BECUASE THE BANKS AGREED TO AN ADVANTAGE
5. IS THE ONLY PAYMENT SERVICE THE BANKS IS PROVIDING THIS ADVANTAGE
6. IS ALLOWED, BY THE COOPERATING BANKS, TO RELEASE FUNDS IMMEDIATELY FOR CUSTOMERS
7. AVOIDS THE SLOWER ACH PAYMENT SYSTEM BECAUSE OF A CONCERTED AGREEMENT AMONG COMPETITORS
8. IS THE ONLY SERVICE ALLOWED TO USE THIS COOPERATIVE SYSTEM GIVING IT A DISTINCT ADVANTAGE
WHAT IS ANTI-TRUST?
Anti Trust is comprised of laws that are regulations that encourage competition by limiting the market power of any particular firm. This often involves ensuring that mergers and acquisitions don’t overly concentrate market power or form monopolies, as well as breaking up firms that have become monopolies.
Antitrust laws also prevent multiple firms from colluding or forming a cartel to limit competition through practices such as price fixing. Due to the complexity of deciding what practices will limit competition, antitrust law has become a distinct legal specialization.
