USA Microbial Corporation requires all distributors of its products to sell the products at specified minimum prices. This resale price maintenance agreement is

Question

Quizplus · Accepted Answer

Resale price maintenance agreements are subject to evaluation under the rule of reason, which means that they are not automatically illegal but need to be evaluated on a case-by-case basis to determine whether they unreasonably restrain trade or promote competition. This analysis considers factors such as the market power of the manufacturer and its justifications for the agreement.

USA Microbial Corporation Requires All Distributors of Its Products to Sell