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Ash
Ash, Solicitor
Category: Law
Satisfied Customers: 10916
Experience:  Solicitor with 5+ years experience
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I manufacture and sell directly to the consumer and also to

Resolved Question:

I manufacture and sell directly to the consumer and also to wholesale accounts that on-sell my brand.
Can I set a minimum resale price for my wholesale accounts?
Can I shut accounts who undercut my rrp? Can I shut an account if I just don't like their selling methods, or if I just don't like them?
I am a small business generating less than £500k turnover. As a company our business model didn't originally include taking on wholesale accounts and now some of them are damaging our expansion through under-cutting.
Submitted: 2 years ago.
Category: Law
Expert:  Ash replied 2 years ago.
Hello my name is ***** ***** I will help you with this.
Can I set a minimum resale price for my wholesale accounts? - No that would be a breach of competition rules. Resellers can sell it for whatever they want.
Can I shut accounts who undercut my rrp? No, see above
Can I shut an account if I just don't like their selling methods, or if I just don't like them? No, you would be in breach of contract.
You can sell to your dealers for whatever price you want. They can then sell for whatever price they want to, even at a loss.
It is like Heinz saying to Tesco you will sell our beans for this. People can sell products for whatever price they wish, that is the nature of competition.
Can I clarify anything for you about this today please?
Alex
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