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Sales promotion via the Internet by companies with a distribution network How to avoid conflicts with the network Marco Hero TIGGES Rechtsanwälte Zollhof.

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Presentation on theme: "Sales promotion via the Internet by companies with a distribution network How to avoid conflicts with the network Marco Hero TIGGES Rechtsanwälte Zollhof."— Presentation transcript:

1 Sales promotion via the Internet by companies with a distribution network How to avoid conflicts with the network Marco Hero TIGGES Rechtsanwälte Zollhof 8 40221 Düsseldorf Germany Tel.: +49(0)211/ Fax: +49(0)211/

2 Advertising Direct marketing Overview Legal classification
Consequences in the case of infringements of (legally protected) rights Direct marketing As principal As manufacturer As franchisor

3 Advertising is permissible in principle
I. Advertising Advertising is permissible in principle Also possible in competition against advertising by other participants in the distribution network No exclusive reservation of advertising via the Internet

4 I. Advertising Usually passive sales and distribution in the sense of the Vertical Block Exemption Regulation (EC 2790/1999) Active sales and distribution only as an exception, e.g. through personalised mailings, customer group-related banners

5 False or erroneous information as trigger of Damages claims Recourse
I. Advertising False or erroneous information as trigger of Damages claims Recourse Compensation claims

6 Internet sales = passive sales Parallel direct sales possible
II. Direct Marketing Internet sales = passive sales Parallel direct sales possible without sales restriction? with territory or customer protection?

7 II. Direct sales & distribution
As principal in addition to the commercial agent permissible in principle despite territory protection but: compensation for the commission losses suffered by the commercial agent

8 II. Direct sales & distribution
As business person in addition to the distributor permissible in principle even in the case of exclusive sales and distribution but: compensation for the losses suffered by the distributor, for equitable reasons

9 II. Direct sales & distribution
As franchisor in addition to the franchisee possible in principle despite territory and customer protection however: compensation for revenues lost by the franchisee

10 II. Direct sales & distribution
Fundamental antitrust-law restriction when the direct Internet sales by the manufacturer exert such a pressure on the distribution network that it is equivalent to price-fixing

11 Questions?

12 Thank you for your attention!
Marco Hero TIGGES Rechtsanwälte Zollhof 8 40221 Düsseldorf Germany (Fax)


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