Nebraska Revised Statute 59-805

Chapter 59


Restraint of trade; underselling; penalty.

Every person, corporation, joint-stock company, limited liability company, or other association engaged in business within this state which enters into any contract, combination, or conspiracy or which gives any direction or authority to do any act for the purpose of driving out of business any other person engaged therein or which for such purpose in the course of such business sells any article or product at less than its fair market value or at a less price than it is accustomed to demand or receive therefor in any other place under like conditions or which sells any article upon a condition, contract, or understanding that it shall not be sold again by the purchaser or restrains such sale by the purchaser shall be deemed guilty of a Class IV felony.


  • Laws 1905, c. 162, § 6, p. 638;
  • R.S.1913, § 4050;
  • C.S.1922, § 3453;
  • C.S.1929, § 59-806;
  • R.S.1943, § 59-805;
  • Laws 1977, LB 39, § 65;
  • Laws 1983, LB 32, § 3;
  • Laws 1993, LB 121, § 360.


  • In order for a plaintiff to successfully bring a claim that a defendant drove it out of business under this section, the plaintiff must show that the defendant is a person, corporation, joint-stock company, limited liability company, or other association which is engaged in business within Nebraska and that the defendant gave any direction or authority to do any act with the intent and for the purpose of driving the plaintiff out of business. Credit Bureau Servs. v. Experian Info. Solutions, 285 Neb. 526, 828 N.W.2d 147 (2013).

  • Claim that contract for construction of educational television system was in violation of this section raised but not decided. Hamilton County Tel. Co. v. Northwestern Bell Tel. Co., 180 Neb. 1, 140 N.W.2d 834 (1966).

  • Contract not to resell automobile without first offering it to vendor did not violate this section. Stanford Motor Co. v. Westman, 151 Neb. 850, 39 N.W.2d 841 (1949).

  • This section gives a cause of action to party injured in his business or property by any contract, combination or conspiracy, or direction given to do an act, for the purpose of driving party out of business. O. G. Pierce Co. v. Century Indemnity Co., 136 Neb. 78, 285 N.W. 91 (1939).

  • One attempting to monopolize electricity business in state by underselling competitors at less than fair market value violates public policy. State ex rel. Spillman v. Interstate Power Co., 118 Neb. 756, 226 N.W. 427 (1929).