The Definition Of Gentlemen`s Agreement

A U.S. House of Representatives report, detailing its investigation into the United States Steel Corporation, asserted that in the 1890s there were two general types of loose associations or consolidations between steel and steel interests in which companies retained ownership and a high degree of independence: the „pool“ and the „gentleman`s Agreement.“ [5] The latter type does not have a formal organisation for the regulation of production or prices or provisions on forfeiture in the event of infringement. [5] The effectiveness of the agreement was based on the fulfilance of informal commitments made by members. [5] Until Jackie Robinson was hired by the Brooklyn Dodgers in 1946, a gentlemen`s agreement allowed African-American players to be excluded from organized baseball. [18] In the worst-case scenario, a gentlemen`s agreement may be entered into to engage in anti-competitive practices such as price agreements or trade quotas. . . .