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Forcing you to purchase

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Zeus661

Guest
What is the name of your state? Ohio

I own a card shop. I selll that well known line of cards and they even have their own cable channel. Anyway, if this card company forces some retailers to purchase a certain amount of a product but does not force all of their accounts are they breaking any laws.

They force you by threatening to take away a status level well known to the public in which you also receive certain benefits from the card company.

In short, I have to buy a certain amount of a particular product when other retailers across the country do not. And If I do not I will be knocked down a few levels and not be able to purchase other products. Also I will have shorten terms on billing.

Is there some kind of FTC law here that can help me?

Hope this makes sense without mentioning their name. Also these stores are NOT a franchise.
 
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HomeGuru

Senior Member
Zeus661 said:
What is the name of your state? Ohio

I own a card shop. I selll that well known line of cards and they even have their own cable channel. Anyway, if this card company forces some retailers to purchase a certain amount of a product but does not force all of their accounts are they breaking any laws.

They force you by threatening to take away a status level well known to the public in which you also receive certain benefits from the card company.

In short, I have to buy a certain amount of a particular product when other retailers across the country do not. And If I do not I will be knocked down a few levels and not be able to purchase other products. Also I will have shorten terms on billing.

Is there some kind of FTC law here that can help me?

Hope this makes snese without mentioning their name. Also these stores are NOT a franchise.
**A: Hallmark and similar retailers should retain their own business attorney. Where is yours?
 
Z

Zeus661

Guest
Attorney's cost money. I thought this was free advice here? I thought maybe it would be against some FTC law that I could research.
 

divgradcurl

Senior Member
Most antitrust and trade regulation laws exist to protect consumers, not retailers. You should spend a few bucks to talk with an attorney as HomeGuru suggested, but chances are what the distributor is doing is not illegal.
 

JETX

Senior Member
"Anyway, if this card company forces some retailers to purchase a certain amount of a product but does not force all of their accounts are they breaking any laws."
*** No. Presumably, you are describing 'tier merchandising' where by ordering a certain product or amount of products, you get special discounts or the option to purchase special products. They are not illegal.

"They force you by threatening to take away a status level well known to the public in which you also receive certain benefits from the card company."
*** Again, no. The wholesaler, distributor or manufacturer is free to set their own pricing or products.

"In short, I have to buy a certain amount of a particular product when other retailers across the country do not."
*** No you don't. You very probably have no obligation at all to buy that particular 'special' product..... unless you want the 'benefit' associated with its purchase.

"And If I do not I will be knocked down a few levels and not be able to purchase other products. Also I will have shorten terms on billing."
*** Okay.

"Is there some kind of FTC law here that can help me?"
*** No. Read your franchise agreement.

"Also these stores are NOT a franchise."
*** Well, that just confused the hell out of me. Either they are franchise stores (owned by independent businesses) or they are company owned stores. Since you say they are NOT franchise, then the company can do anything that they want with THEIR stores.
 

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