Legal Question in Business Law in Kentucky

business law

I am a local retailer who in the past have purchased product directly from a certain national company. Today I find out that this company will no longer sell to me due to another local retailer who buys more than I do. I think that this is illegal due to the fact that they have sold to me in the past. From what I was told today it is all because of this other retailer. What should I do next?


Asked on 3/19/07, 7:37 pm

1 Answer from Attorneys
Gregory Napier Troutman & Napier, PLLC

Re: business law

The starting point is whether you had a contract, verbal or written, with that company. If so, then the next step is to see if that contract is enforceable and whether it has been breached.

From the tone of your question, it sounds like no contract existed and it was simply a sale by sale arrangement. If so, then what has probably happened is that your competitor has signed a contract with the company that called for exclusivity.

Most likely, this is entirely legal. There is a slim chance that an illegal monopoly has been created but you would need a lawyer to look at this closely to see if there is a case there.

One big question is whether you can get the same or similar product from another company. If not, is there any way you can make yourself more competitive in the eyes of the wholesaler?

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Answered on 3/20/07, 9:22 pm


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