The Indianapolis times. [volume] (Indianapolis [Ind.]) 1922-1965, 1924-08-08
GAS PRICE
FIXING IS
UNLA WFUL
Federal Trade Commission
Establishes Precedent
in Florida Case.
Times Washington Bureau,
1929 NefO York Are.


Times Washington Bureau
1893 Net0 York Are.
EU1ASHINGTON, Aug. S.-The
lWI Federal Trade Commission
IL has established a precedent
for action against the big gasoline
distributing companies for price-fix-
ing agreements, in restraint of trade.
The precedent has just been esta-
lished in a case arising in Tampa,
Fla, and cease and desist" order
has been issued against the Standard
Oil Company, the Texas Company,
the Gulf Refining Company and the
Tampa Retail Dealers Association.
AT Tampa the commission found
the dealers association backed by
the big supply companies entered
into an agreement to retail gasoline
at cents a gallon margin of profit.
Dealers who refused to demand this
large margin Of profit were informed
that unless they adhered to the price
they would be unable to buy gas
from either of the three big compa-
MES. Dealers who supported the
agreement half-heartedly discovered
that the distributors were refusing
them sufficient service.
Covers Wide Range
The order restrained the Standard.
Texas and Gulf Companies from en-
gaging in the following practices:
l. Attaching any condition, express
or implied. to purchases made by
gasoline dealers who are wholesale
buyers directly. Immediately and
proximately from theSsaid refining
companies, to the effect that such
dealers shall maintain resale prices
specified by the refining company.
or specified by any other person or
association Of persons.
2. Directly or indirectly indicat-
ing to said dealers that unless they
maintain a given resale price or
given margin of profit they will Or
may be unable to buy gasoline, or TO
buy 1t at the current price and at
ordinary terms and service, or that
they will or may encounter diff
Guilty in so doing
3. Asking, advising or requiring
the said buyers Of such gasoline to
display a card or sign at their re
spective places Of business. showing
their selling price. as a means Of
carrying out the aforesaid purpose.
4. Refusing TO sell and deliver
gasoline brought into the State and
sold as aforesaid. unless such dealer
so buying maintains a given or uni
form price or margin Of profit as
aforesaid. and from declining or neg
Letting to give service Of gasoline
efficient, or adequate in amount or
in time or in regularity or service,
TO any such dealer because or on the
ground that he is a price-cutter or
does not adhere to any given price
or margin OF profit. either explicitly
or upon any ground or under any
subterfuge whatever.
5. Affording a less efficient and
adequate service to any such dealer.
buying as aforesaid, who may fail to
adhere to a given price or margin
Of profit than is afforded to other
direct customers at the same time.
because OF the resale price made by
any other dealer or dealers.
Coercion Must Stop
The order restraints the Tampa Re
tail Dealers Association. also, from
attempting Strong arm methods" in
persuading or cosrcing other dealers
to stand by price fixing agreements
and 1t restraints boycotts from sup
ply sources as we'll as ( restrictive
methods in any manner whatsoever.
The effect of the Tampa ruling,
Federal Trade Commission OFFICIALS
said, was local and it applied only
to Tampa and vicinity, but it has
established a precedent whereby the
commission can proceed against the
gasoline companies and the large re-
tail distributors in other large cities
where similar restrictive methods are
employed.
The commission takes action usu-
ally when complaints are made by
responsible citizens showing that IN
fair methods of competition are be-
ing employed III restraint Of trade.