Distribution Agreements That Limit Sales by Customer or Territory

question 53

Multiple Choice

Distribution agreements that limit sales by customer or territory

• A)are always illegal.
• B)may be legal if they are horizontal agreements between producers and intermediaries.
• C)are definitely illegal if they are horizontal agreements among competing producers or intermediaries,but may be legal if they are vertical agreements.
• D)are definitely illegal if they are vertical agreements between producers and intermediaries.
• E)None of these answers is correct.

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Definitions:

Trade Names

Names under which businesses operate and are known to the public, distinct from their legal names.

Customer Lists

A comprehensive collection of information about customers, including contact details, preferences, and purchase history, used for marketing and customer relationship management.

Intangible Assets

Assets that lack physical substance, such as patents, trademarks, goodwill, and copyrights, having value due to the rights and advantages they provide to a business.

Tangible Assets

Physical assets that have a concrete form, such as buildings, machinery, vehicles, and inventory.