Leegin Creative Leather Products, Inc. v. PSKS, Inc.
United States Supreme Court
551 U.S. 877 (2007)
Leegin (defendant) sold its Brighton-brand accessories through thousands of retailers, including PSKS's (plaintiff) store Kay's Kloset, and in 1997 adopted a policy of refusing to sell to retailers who priced below Leegin's suggested minimum, explaining it wanted retailers to have margins sufficient to invest in customer service and store appearance. When Leegin learned in 2002 that Kay's had been discounting the entire Brighton line and Kay's refused to stop, Leegin cut off its supply, and PSKS sued alleging the resale-price policy was a per se antitrust violation; the courts below agreed, following Dr. Miles Medical Co. v. John D. Park & Sons Co.
Whether an agreement between a manufacturer and a distributor on the minimum resale price a distributor may charge is a per se antitrust violation.