> Both parties agree not to undercut the other
How is that different from price fixing?
Re:Tesla Clashes With Car Dealers
by sliverstorm on Tuesday June 18, 2013 @03:03AM
(#5897972)
It isn't. Wikipedia says this particular type of price fixing is often allowed, and called "Resale price maintenance"
It's the agreement between a manufacturer and a retailer about the price of a product, not an agreement between multiple retailers.
That should still be illegal. I thought manufacturers can only set a "recommended retail price", but retailers can set whatever price they want.
Plus, in this specific case the manufacturer (Apple) is also a retailer.
Re:Tesla Clashes With Car Dealers
by josephlord on Tuesday June 18, 2013 @06:59AM
(#5898497)
In Europe even a "recommended retail price" may be an issue in competition law.
With respect to dealerships' monopoly on repair knowledge, at least one state (Massachusetts) has passed a "Right to Repair" act, and car makers have largely made it easier for independent mechanics to obtain service and diagnostic information, so this issue is basically moot now. See, e.g., http://en.wikipedia.org/wiki/Motor_Vehicle_Owners'_Right_to_...