Antitrust Law
Brighton Ruling Spurs More Minimum Prices and Some Lawsuits
Posted Aug 18, 2008, 06:58 am CDT
By Debra Cassens Weiss
A U.S. Supreme Court decision involving Brighton handbags has led several manufacturers to set minimum prices for their products and cut off retailers who fail to follow them.
The June 2007 decision, Leegin Creative Leather Products Inc. v. PSKS Inc., said companies may set and enforce minimum prices if they promote competition. The court’s new test is more defendant-friendly.
Now minimum prices are being imposed by several manufacturers, particularly those that make baby goods, consumer electronics, home furnishings and pet food, the Wall Street Journal reports (sub. req.).
The price policies have led to at least two lawsuits and a request for a change in the law by… Continue reading...
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