Price discrimination

• Pages: 2-7

Robinson-Patman Primer

2

states. While state price disc rimination laws often

are similar to the Robinson-Patma n Act, important

differences exist in many states.

II. PRICE DISCRIMINATION

The heart of the Robinson-Patman Act is Sec-

tion 2(a), which makes it unlawful, under certa in

circumstances, “to discr iminate in pr ice between

different purchasers of commodities . . . where the

effect of such discrimination may be substantially to

lessen competition.”

A. The Basic Elements of a Section 2(a)

Case

For a plaintiff to prove a prima facie Section 2(a)

price discrimi nation claim, it must satisfy at least

eight different requirements.

1. Commodities. The Act applies only to sales

of commodities. Commodities are tangible products,

as distinct from services and inta ngible items such

as transportation ser vices, insurance, securities, tele-

communications services, and intellectua l property.

The courts have struggled with the demarcat ion line

between goods and services in such mixed situations

as software and advertising. Where a challenged

transaction involves a combination of the sale of

commodities with the provision of services or intan-

gibles, courts generally focus on the dominant nature

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