Montgomery County sentinel. [volume] (Rockville, Md.) 1855-1974, 1937-10-07
CHAPTER ase

Acts of 1895, codifed as Sections 105,
106 107, 10S, 100 and ITO, respectively,
of Article SO Of Flack's 1885 supple
ment to the Annotated Code OF Pub
lie General Laws of Maryland, title
"Sales and Notices., subtitle Fair
Trade Act, and to substitute there
for, for the purpose of correcting,
clarifying and amplifying the Act SO
repealed, ten (10) sections, to be added
to said Article and bear the same sub
title, to follow Immediately after Sec
ton 104, and to be known as Sections
1O5, 100, 107, 106, 100, 40, iii, 112,
113 and ia, respectively, to protect
trademark owners, producers, dis ;
tributors and the general public
against injurious and unec0n0mic
practices in the distribution of COM
petitive commodities bearing distin-
gushing rade-mark, brand or name,
through the use Of voluntary con-
tracts establishing minimum resale ,
prices and providing for refusal to
sell unless such minimum resale prices
are observed.
Section 1. Be 1t enacted by the Gen.
eral Assembly of Maryland, That Chap
ter 212 of the Acts of 1895, codifed as
Sections 105, 400, 107, l0S, 100 and ITO,
respectively, of Article SO of Flack's
1885 Supplement to the Annotated Code
Of Public General Laws of Maryland,
title "Sales and Notices., subtitle
Fair Trade Act, be, and the same IL
hereby, repealed
Sec, 2. And be It further enacted,
That ten (10) new sections be, and the
same are hereby, added to Article 50 Of
Flack's 1885 Supplement to the Ammo
tated Code Of Public General Laws Of
Maryland, title +Sales and Notices.,
subtitle Fair Trade Act", to follow
Immediately after Section iO4, and to
100, ITO, Ill, 112, 113 and ia, respec-
lively, said new sections to read as
follows:
los. The following terms, as used in
this Act, are hereby defined as follows: /,
(A) Commodity" means any subject
OBJ Producer means any grower,
baker, maker, manufacturer, bother,
packer, converter, professor or publisher.
(C) wholesaler" means any person
selling a commodity other than pro-
(D) Retailer" means any person
selling commodity to consumers for
use.
(E) Person means an individual,
corporation, partnership, an associa-
tion, joint-stock company, business
trust or any unincorporated Organiza-
ton.
106 No contract relating to the sale
or resale of q commodity which bears,
or the label or container of which bears,
the trade mark, brand, or name Of the
.
modify and which commodity Is in .
free and open competition with COM
m0dities Of the same general class pro-
duced or distributed by Others shall be
deemed in violation of any law of the
State Of Maryland by reason Of any Of
the following provisions which may be
contained in such contract:
(A) That the buyer win not resell
such commodity at less than the mini
mum price stipulated by the seller.
(B) That the buyer will require of
any dealer to whom he may resell such
commodity an agreement that he will
not, in turn, resell at less than the
minimum price stipulated by the seller.
(C) That the seller win not sell such
commodity:
~ to any wholesaler. unless such
wholesaler will agree not to resell the
same to any retailer unless the retailer
will In turn agree not to resell the same
except to consumers for use and at not
less than the stipulated minimum price,
and such wholesaler win likewise agree
not to resell the same to any other
wholesaler unless such other wholesaler
will make the same agreement with any
wholesaler or retailer to whom he may
resell; or
(2) to any retailer, unless the retailer
will agree not to resell the same except
to consumers for use and at not less
than the stipulated minimum price.
107. For the purpose of preventing
evasion Of the resale price restrictions
imposed in respect of any commodity
by any contract entered into pursuant
to the provisions of this Act Except
to the extent authorized by the said
contract:
IA The offering or giving of any arti-
Gle OF value In connection with the sale
Of such commodity;
o. The offering or the making OF any
concession of any kind whatsoever
whether by the giving Of coupons or
otherwise) In connection with any such
sale; or
Eel The sale or offering for sale Of :
such commodity in combination with
any other commodity, shall be deemed
violation OF such resale price restric-
ton, for which the remedies prescribed
by Section no Of this Act shall be avail
able {
108. No minimum resale price shall ]
be established for any commodity, un-
to the provisions Of this Act, by any
person other than the owner of the
trade mark, brand or name used in con-
nection with such commodity or a dis
tributor specifically authorized to estab-
lish said price by the owner Of such
denmark, brand or name.
100. No contract containing any OF
the provisions enumerated In Section
100 Of this Act shall be deemed to pre-
clude the resale OF any commodity COW
ereQ thereby WITHOUT reverence 10 Ducn
contract in the following cases:
(A) In closing out the owners stock
for the bona fde purpose of discontinu-
ing dealing in any such commodity and
plain notice of the fact Is given to the
public; provided the owner of such
stock shall give to the producer or dis
tributor Of such commodity prompt and
reasonable notice In writing of his In
tention to close ont said stock, and an
opportunity to purchase such stock at
the original invoice price;
(B) When the goods are altered, Sec
ond- hand damaged, defaced or deteri-
Grated and plain notice OF the fact Is
given to the public in the advertisement
and sale thereof, such notice to be con-
spicuously displayed in all advertise
ments and to be Affixed to the COM
modify;
(cJ By any officer acting under an
order Of court.
no. Wilfully and knowingly adver-
Using, offering for sale or selling any
commodity at less than the price stipu-
lated in any contract entered into pur-
whether the person so advertising, offer
ing for sale or selling is or is not
party to such contract, Is unfair compe-
tition and II actionable at the suit Of
any person damaged thereby.
III. This Act shall not apply to any
contract or agreement between or
among producers or distributors or, ex-
cept as provided in subdivision (C) OF
Section 100 Of this Act between or
among wholesalers, or between or
among retailers, as to sale or resale
liz II any provision of this Act, or