Legal Question in Business Law in California
Can a U.S. reseller invoke the anti-trust law if the manufacturer (supplier) presents a sales agreement that restricts the sale territory to the U.S.? Basically we wish to prevent the U.S. reseller from selling our products to customers in foreign countries. To my understanding, the U.S. anti-trust law exists to make sure there is fair competition within the U.S., ultimately for the sake of consumers so that they can get a fair price. Can the anti-trust law be invoked to cover competition outside the U.S.?
2 Answers from Attorneys
People and companies restrict sales territories all the time without violating antitrust laws, and I am attorney who drafts such agreements. Please call my office and we can discuss this in more detail. -Robert
The practice of restricting a distributor's territory is, in itself, legal and commonplace. A reseller's turf can be defined geographically, by industry, by deal size, by product line, and otherwise.
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