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---- US Supreme Court allows minimum price requirements


engine - 5:59 pm on Aug 10, 2007 (gmt 0)


The United States Supreme Court has just cracked 100 years of antitrust jurisprudence in a decision that may profoundly affect the way consumer goods are priced in the future. This decision holds great promise -- but not without danger -- for manufacturers of virtually any type of consumer product.

On June 7, 2007, in Leegin Creative Leather Products, a sharply divided Supreme Court ruled that pricing behavior which, in the past, had been considered so pernicious that it was always per se illegal -- i.e., under no circumstances would it be permitted -- might now, under the right circumstances, be OK. The subject is minimum resale price maintenance, and the potential commercial impact is vast.

Manufacturers Must Follow "Rule of Reason" In Setting Floor Prices
[industryweek.com]


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