Can I sue a website for selling product under UMRP prices? 6 Answers as of January 05, 2012

Our company sells lighting and fans that are also sold on-line by other dealers. The vendors that we buy or product from have polices that tell everyone how much each item can be sold for. We loss a lot of sales, due to these large eCommerce site breaking the UMRP polices, and selling items well below the set amount by the vendor.

Ask a Local Attorney. 100% Anonymous. Free Answers.

Or for Immediate Assistance call (888) 428-7281

Free Case Evaluation by a Local Lawyer: Click here
R. D. Kelly Law Firm, P.L.L.C.
R. D. Kelly Law Firm, P.L.L.C. | Robert Kelly
Leegin Creative Leather Products, Inc. v. PSKS, Inc., 551 U.S. 877 (2007), is a US antitrust case in which the United States Supreme Court reversed the 96-year-old doctrine that vertical price restraints were illegal per se under Section 1 of the Sherman Act, replacing the older doctrine with the rule of reason. The decision overruled a long-standing precedent, Dr. Miles Medical Co. v. John D. Park & Sons Co., 220 U.S. 373 (1911). Regarding your particular situation, the pricing policies and their enforcement are between the company and the vendor(s). If a web-based vendor has been violating the company's policies, then it would be up to the company to refuse to sell to the web-based vendors. Maybe you should write to the company demanding that they either enforce their policies or acknowledge that their policies are no longer in effect. If there was an actual contract between you and the company and the company breached it, you might have a cause of action, but if the company policy was unilateral, then it might not be an enforceable contract.
Answer Applies to: Washington
Replied: 1/5/2012
David F. Stoddard
David F. Stoddard | David F. Stoddard
Your question is beyond the scope of personal injury law, which is the subject matter that it was posted under, and the subject matter that I am familiar with. I will try to answer your question. I do not believe that you can sue the website of reselling below UMRP prices. Rather, I believe your remedy is to complain to the manufacturer and ask that they enforce their UMRP. My understanding is that the manufacturer sets the UMRP and asks retailers, distributers to follow pricing policy. If you do not agree to do so, the manufacturer can refuse to deal with you. It is possible you could sue the manufacturer for its failure to enforce its policy, but I doubt the manufacturer has a legal obligation to do so.
Answer Applies to: South Carolina
Replied: 1/5/2012
Andrew T. Velonis, P.C.
Andrew T. Velonis, P.C. | Andrew Velonis
I'd suggest finding a lawyer in your area who practices in anti-trust law and set up a consultation to get a definite answer. It would cost some money, but would be worth it to know for sure. Have you talked to your suppliers about this? "Dave, we adhere to your UMRP policy, but lights-n-fans dot com does not. Doesn't seem right that you sell to them and allow them to violate your policy, but if we did the same thing, you'd cut us off" See what they say. Also, call the State Attorney General's office and the FTC. Could be some anti-trust violation going on.
Answer Applies to: New York
Replied: 1/4/2012
Paul Whitfield and Associates P.A.
Paul Whitfield and Associates P.A. | Paul L. Whitfield
Sorry. don't know what UMRP is. Sounds like competition in the free market place. If someone is selling at less than suggested retail that seems to be between them and the manufacturer. I dont see how you could profit by that.
Answer Applies to: North Carolina
Replied: 1/4/2012
The Margolis Firm
The Margolis Firm | Charles J. Candiano
You have no "standing" to bring the action against another store. You are in the unenviable position of having no recourse but to sue the supplier. You purchased the merchandise and adjusted your inventory levels in reasonable reliance upon the manufacturers' assurances that it would police the uniform price policy among its distributors. It was foolish for you to rely on this because the only way for the manufacturer to enforce the policy is to bring suit against the retailer/distributor who has undercut their price and is probably selling more product than any other distributor. Unless you are selling as exclusive a product as Rolls-Royce or Ferrari, the manufacturer is making a per piece profit and wants you to sell as many units as possible.
Answer Applies to: Illinois
Replied: 1/4/2012
Bulman Law Associates PLLC Injury Law Firm
Bulman Law Associates PLLC Injury Law Firm | Thomas Bulman
You should sue the manufacturer.
Answer Applies to: Montana
Replied: 1/4/2012
Click to View More Answers: