The Colloboration Among Competitors Of Vertical Restraints

The use of vertical restraints and their effect on competition between companies has demonstrated that they should be prevented. Vertical restraints of trade will be considered under the rule of reasons but also under the per se illegal analysis. Vertical restraints involve the firms at different levels of production/distribution chain including an agreement between a manufacturer and its distributors.

The following questions have been addressed in this article:

What possible defenses can be made to the rule against resale price maintenance?
What are the benefits for a firm to use tying arrangements under vertical restraints?
What defenses can be raised under tying arrangements?

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