General Discussion
In reply to the discussion: Anyone ever hear of Unilateral Pricing Policy? What a scam. [View all]djg21
(1,803 posts)It is a unilateral act, and so long as there is no agreement, it is not an Antitrust violation and always has been perfectly lawful and appropriate so long as the manufacturer is not a monopolist. It's a free country and manufacturers generally may choose to deal, or not to deal, with any distributors they want. Manufacturers also are free to control the channels of distributions. If a manufacturer has a unilateral policy of not distributing through vendors who price cut, or which don't provide appropriate service, or which sell into the grey market, the manufacturer is perfectly within its rights.
MAP was a little differed (as are "structured" terminations) as they induce the vendor to enter an agreement arguably in restraint of trade. The key word here is "unilateral."