California  |  Intellectual Property

Legal Question

Asked on: 2/01/07, 1:36 pm

Private Label Clothing Resale

A clothing company claims themselves to be a ''Private Label Brand'' and claims that their merchandise cannot be resold for profit . Furthermore, they reserve the right not to sell to a consumer who resells their merchandise to protect their ''intellectual property rights''. The same company is also publicly traded on the NYSE so shouldn't that mean its not a private label?

Is this resale policy legally sound? Can they really restrict consumers from buying their merchandise (even if not for the purpose of resale but as a personal purchase?)

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