Fact Pattern 46-1​ Pharma Corporation Makes and Sells QualMed, the Most Prescribed Name-Brand

question 24

Multiple Choice

Fact Pattern 46-1​
Pharma Corporation makes and sells QualMed, the most prescribed name-brand blood pressure-lowering medication. Renew Drugs, Inc., has the potential to make a generic version of the same drug.
-Refer to Fact Pattern 46-1. A court would most likely rule that the agreement between Pharma and Renew is​

• A) ​a deal that neither restrains trade or harms competition.
• B) ​a legal restraint of trade.
• C) ​a per se violation of the Sherman Act.
• D) ​subject to analysis under the rule of reason.

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Definitions:

Give Consideration

In contract law, the act of offering something of value, required by both parties for a contract to be legally binding.

Promissory Estoppel

A legal principle that prevents a person from going back on a promise even when a legal contract does not exist.

Unilateral Contract

An agreement in which one party makes a promise in exchange for an act performed by another party.

Consideration

In contract law, a crucial element that refers to something of value promised to another when making a contract.