Bricks V. Clicks

Law360, New York (April 8, 2011, 12:53 PM EDT) -- In just over 15 years, the Internet has changed the face of retail. While some manufacturers have fully embraced e-commerce, others are still concerned or uncertain about its ultimate effect on their business. This has led some to impose restraints on their distributors in order to control Web-based sales of their products, or to prevent such sales altogether.

Manufacturers’ main concern is free-riding among retailers, which occurs when a retailer makes a sale thanks to the sales and promotional efforts of another retailer. Anyone who has...
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