The example of resale price maintenance
discussed above (Section II, B) illustrates that in case of a prohibition manufactures have several alternatives at their disposal to guarantee the provision of presales services.
Firms that have at least one distributor, either a retailer or a wholesaler, report whether they employ vertical restraints and, if so, identify which of five types are employed: franchise fee, resale price maintenance
, full-line forcing, exclusive dealing, or exclusive territories.
Monopoly-like producers familiar with antitrust regulation are unlikely to employ resale price maintenance
schemes designed to exploit their monopoly power for two reasons.
Roundtables: Resale Price Maintenance
, at 19, OECD Doc.
Judge Bork has argued that resale price maintenance
ought to be per se legal, see BORK, supra note 77, at 288, as has Judge Posner, see Richard A.
The High Court order brings to an end a battle by the Office of Fair Trading to put a stop to Resale Price Maintenance
which allows drug manufacturers to set their own minimum charges.
The moves followed the abolition yesterday of the 30-year-old exemption of medicines from a general ban on resale price maintenance
after an umbrella group of local chemists and manufacturers abandoned their opposition.
The government has decided to reconsider the resale price maintenance
system on the grounds that it runs counter to consumer interests.
It has been estimated that the system of Resale Price Maintenance
, set up in the 1970s, costs consumers pounds 300million a year.
Consumer groups and Federal regulators have argued that setting minimum prices--a practice known as resale price maintenance
(RPM)--is anti-competitive and means consumers will pay more for goods.
Writing for the court, Justice Sandra Day O'Connor said there was ``insufficient economic justification'' for prohibiting the practice known as resale price maintenance
A new survey reveals substantial cross-party support for protecting local pharmacies from the possible abolition of resale price maintenance
(RPM) on non-prescription medicines, as sought by the Office of Fair Trading (OFT).