Jekyll Inc., a camera dealer, refuses to sell its cameras to customers unless they also agree to buy memory cards and other camera accessories from Jekyll. This scenario is an example of a(n) _____.
A) requirements contract
B) tie-in contract
C) exclusive dealing contract
D) adhesion contract

Question

Quizplus · Accepted Answer

Tie-in contracts (tying contracts) occur when a seller refuses to sell a product (the tying product) to a buyer unless the buyer also purchases another product (the tied product) from the seller. So, if Jekyll Inc. refuses to sell its cameras (the tying product) to customers unless they also agree to buy the memory cards and other camera accessories (the tied product) from Jekyll, this is a tie-in contract; the sale of memory cards and other camera accessories is tied to the sale of cameras.