Need legal advise on third party (ebay) selling restrictions

[cyclebitz]

Looking for some input.

We stock a fairly well known widget brand deep in our brick shop and sell on our own website.

The product is purchased via one of the brand official distributors. 

The brand has a strong MAP policy which we follow to the letter. No discounting ever and all above board so far.

But they also implemented a restriction on selling via third party marketplaces, such as eBay and Amazon.

The only seller allowed on those market placed is the brand itself. They basically created a monopoly for themself on all major marketplaces.

It's their brand and product obviously but I do wonder about the legality of creating a monopoly and keeping sellers off ebay.

[coastaltechsolution]

Not sure what to say except it sounds like you cannot sell it on eBay? 

Hire some lawyers? 

Not much we as other eBay sellers can say but legality must be followed? 

[bashort]

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@cyclebitz wrote:

Looking for some input.

We stock a fairly well known widget brand deep in our brick shop and sell on our own website.

The product is purchased via one of the brand official distributors. 

The brand has a strong MAP policy which we follow to the letter. No discounting ever and all above board so far.

But they also implemented a restriction on selling via third party marketplaces, such as eBay and Amazon.

The only seller allowed on those market placed is the brand itself. They basically created a monopoly for themself on all major marketplaces.

It's their brand and product obviously but I do wonder about the legality of creating a monopoly and keeping sellers off ebay.

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Companies who operate above board will enforce this by not selling product to those who do not follow their decree, other companies will enforce it by claiming that ever one of their items that is listed for sale is "counterfeit".

[zip-a-deedoodah]

A manufacturer has pretty broad leeway in establishing its distribution network.  That it restricts its authorized resellers from selling on commerce platforms, isn't really monopolistic behavior.  I'm assuming you are free to set up your own webstore and continue online sales that way.

[american-photography]

Wholesalers can decide where and who can sell their brands.

Nothing illegal about it.  It's about exclusivity and controlling counterfeits more than monopoly.  They also don't want to diminish the brand by selling to third party marketplaces.

It happens all the time with retailers selling name brands who must follow the conditions set out by the wholesale brands they sell.