Albrecht v. Herald Co.
Case Date: 07/22/1968
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Albrecht v. Herald Co., 390 U.S. 145 (1968), was a decision by the United States Supreme Court, which held that wholesalers could not require franchisees and retailers of their products to sell items at a certain price; advertisements regarding sales, therefore, always included the language "Available at participating retailers only". This broad rule was reversed in 1997 by State Oil Co. v. Khan, which held that such price-setting was not inherantly anti-competitive and not a violation of antitrust law.
Albrecht drew heavy criticism by economists, because vertical price fixing, particularly in the newspaper industry, actually increases consumer welfare, which is considered to be a primary goal of antitrust.[1][2]
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