Consumer Law Library

Advisory opinion letter

Topics: Advertising

89 F.T.C. 697 · May 9, 1977 ·

source volume section (89 F.T.C. 697)

Text is machine-OCR of the printed volume and may contain errors. Advisory opinions are the Commission's views on proposed conduct, not binding orders.

May 9 , 1977 Gentlemen:

Responding to your letter of May 3, 1977, we wou1d advise as follows:

89 F.

United Audio Products, Inc. is about to introduce a completely new product line of record players which wi11 be launched in June and wi11 be nationa11y advertised in the manner as shown on the enclosed advertisement.

It is therefore essential that we have prepared a dealer price list such as we submitted to you which is in every respect similar in form to dealer price lists used by competitors with your knowledge and approval.

The approximate nationa!!y advertised value is predicated upon the comparative values of similar products in the market place consistent with the cost thereof to the dealer. The dealer has the unrestricted right to fix his own margin of profit and se11ing price. We do trust to receive a response as soon as possible since we must have our dealer price list ready for distribution by June 1 , 1977.

Very respectfu11y yours
UNITED AUDIO PRODUCTS
INC.

/s/ By

Rudolph Taplitz