On September 30, 2026, Governor Newsom signed AB 1776, the COMPETE Act. It is one of the biggest changes to California antitrust law in decades, and it takes effect January 1, 2027.
For more than a century, the Cartwright Act reached agreements among two or more businesses but generally not a single company acting alone. A case against one dominant firm had to be brought under federal law. That gap is now closed.
What changed
The law makes it unlawful to monopolize or monopsonize a market, attempt to do so, or maintain a monopoly or monopsony through anticompetitive conduct. California prosecutors can now sue a single company under state law for using its market position to keep competitors out.