In December 1971, the American Electric Power Co sued GE and Westinghouse for alleged conspiracy in violation of the Sherman Act, an antitrust law. Specifically, GE and Westinghouse was charged with upholding an agreement to eliminate price competition, establishing uniform prices and submitting non-competitive bids to purchasers. GE denied these charges and later filed a countersuit in March 1972. American Power’s CEO, Donald C Cook, labeled GE’s counterclaim as …show more content…
Soon after, the Department of justice continued its investigation of the company, arguing that “This public exchange of assurances, with such intent, did constitute an agreement to stabilize prices which warranted the filing of a civil action ... alleging a violation of the Sherman Act”, (Cabral, 2). GE and