Fair trade acts targeted loss-leader selling of branded goods as an injurious practice

Evidence

The purpose of the California act, as exptessed in its title, was to protect trade-mark owners, distributors, and the general public against injurious and uneconomic practices in the distribution of articles of standard quality under a trade mark, brand, or name, and the particular practice against which it was directed was the so-called “loss-leader selling.” — Henry M. Hart, Jr. and Albert M. Sacks, The Legal Process, 1873

Categorization

  • DEFINE: Defines ‘loss-leader selling’ as the specific practice fair trade acts were enacted to stop.
  • XREF: connects to: Protected sellers lose the reputational penalty for cheating unprotected buyers — Diego Gambetta, The Sicilian Mafia The Business of…, 69

Broader Connections