Vertical Agreements Between Buyers and Sellers

Certain kinds of agreements between parties in a buyer-seller relationship such as a retailer who buys from a manufacturer are also illegal. Price-related agreements are presumed to be violations, but antitrust authorities may view some non-price agreements with less suspicion because many have valid business justifications.

Resale price maintenance agreements

Vertical price-fixing -- an agreement between a supplier and a dealer that fixes the minimum resale price of a product -- is a clear-cut antitrust violation. It also is illegal for a manufacturer and retailer to agree on a minimum resale price.

Tie-in sales

The sale of one product on condition that a customer purchase a second product, which the customer may not want or can buy elsewhere at a lower price is a tie-in. Requirements like these are illegal if they harm competition. » top