ILSR Statement on the Introduction of the Fair Competition for Small Business Act

FOR IMMEDIATE RELEASE

For media inquiries, please contact: Reggie Rucker, ILSR Communications Director

ILSR Applauds Senator Booker’s Introduction of the Fair Competition for Small Business Act

WASHINGTON, D.C. (December 10, 2025) — Ron Knox, senior researcher and policy advocate at the Institute for Local Self-Reliance (ILSR), issued the following statement on the introduction of the “Fair Competition for Small Business Act.”

“States have long been on the front lines in the fight against monopoly abuses and unfair competition. This bill would give state enforcers the power and resources they need to use the federal Robinson-Patman Act (RPA) to stop corporate bullying of dominant retailers, supermarket mega-chains, and their suppliers.

“Sadly, federal enforcers have largely abandoned RPA since the 1980s, contributing to rising consumer prices and an epidemic of food deserts in communities nationwide, urban and rural alike. We saw a glimmer of hope under the leadership of Federal Trade Commissioner (FTC) Lina Khan, when the FTC took action to enforce the law and reinstate fairness as a key goal of our antitrust laws.

“Unfortunately, the FTC’s commitment to fully enforcing the RPA is now in question. The agency’s current leadership abruptly ended a crucial Robinson-Patman action against PepsiCo for allegedly selling its products to Walmart at lower prices while overcharging small shops and grocers. These actions underscore how crucial it is for state enforcers to ensure fair competition for independent grocers and other retailers within their borders. This bill would help empower state attorneys general to do just that.”

If enacted, the bill would give state attorneys general the power to seek damages from chain retailers and their suppliers for engaging in price discrimination in violation of the federal Robinson-Patman Act. Price discrimination, in which chain stores use their size and power to force food manufacturers and farmers to give them discounts and preferential treatment that aren’t offered to smaller stores, has been illegal under Robinson-Patman since 1936. Today, state enforcers can sue under the Robinson-Patman Act to stop price discrimination, but do not currently have the authority to force those who violate the law to pay damages. 

For over five decades, ILSR has worked to advance policies that disperse economic power and strengthen local communities. In recent years, we have researched and advocated to prevent the harms of price discrimination in the grocery sector.