Quantity or volume discounts are lawful to the extent they are supported by cost savings.

Question

Quizplus · Accepted Answer

Quantity or volume discounts are lawful as long as they are based on cost savings or efficiencies achieved by the seller. This means that the discounts should reflect the seller's reduced costs of production, distribution, or other related expenses when selling a larger quantity of goods or services to a buyer. If the discounts are based on other factors such as loyalty, exclusivity or market power, they may be considered discriminatory and may violate antitrust laws.

Quantity or Volume Discounts Are Lawful to the Extent They