December 2000
The Director - Features
Chat Room Crackdown
Internet communications pose antitrust risks for members and their associates
Whenever competitors communicate, there is an increased risk of antitrust liability. Since professional associations and trade organizations generally consist of groups of competitors, association leaders and staff must constantly be vigilant to cut off any improper communication that arises at association meetings, seminars or conventions. Likewise, members must be cognizant of improper topics of discussion that run afoul of antitrust and unfair competition laws. Permitting unlawful anti-competitive behavior to take place at association functions exposes both the members and the association to criminal and civil antitrust liability.
Chat Room Crackdown explains how the Internet provides unparalleled opportunities for member-to-member communication and the corresponding increase in potential antitrust liability for associations that sponsor these channels of communication. This is especially true in the areas of bulletin boards and chat rooms, where supervision is difficult at best.
The article includes a list of dangerous discussion items that was assembled by the American Society of Association Executives, as well as a list of discussion topics that are permissible in funeral association communications.
The article was written by T. Scott Gilligan, a partner with the law firm of Kepley, Gilligan & Eyrich in Cincinnati, OH. Gilligan serves as NFDA General Counsel and represents NFDA in matters dealing with the Federal Trade Commission Funeral Rule.