Title 15Commerce and TradeRelease 119-73

§13a Discrimination in rebates, discounts, or advertising service charges; underselling in particular localities; penalties

Title 15 › Chapter CHAPTER 1— - MONOPOLIES AND COMBINATIONS IN RESTRAINT OF TRADE › § 13a

Last updated Apr 6, 2026|Official source

Summary

Makes it illegal for a seller in trade to knowingly give one buyer better price terms than competitors for the same grade, quality, and amount of goods (for example, price cuts, refunds, credits, or help with advertising). It also bans selling lower in one U.S. area to drive out rivals or selling at unreasonably low prices to destroy competition. If someone is convicted of breaking these rules, they can be fined up to $5,000, jailed for up to one year, or both.

Full Legal Text

Title 15, §13a

Commerce and Trade — Source: USLM XML via OLRC

It shall be unlawful for any person engaged in commerce, in the course of such commerce, to be a party to, or assist in, any transaction of sale, or contract to sell, which discriminates to his knowledge against competitors of the purchaser, in that, any discount, rebate, allowance, or advertising service charge is granted to the purchaser over and above any discount, rebate, allowance, or advertising service charge available at the time of such transaction to said competitors in respect of a sale of goods of like grade, quality, and quantity; to sell, or contract to sell, goods in any part of the United States at prices lower than those exacted by said person elsewhere in the United States for the purpose of destroying competition, or eliminating a competitor in such part of the United States; or, to sell, or contract to sell, goods at unreasonably low prices for the purpose of destroying competition or eliminating a competitor. Any person violating any of the provisions of this section shall, upon conviction thereof, be fined not more than $5,000 or imprisoned not more than one year, or both.

Reference

Citations & Metadata

Citation

15 U.S.C. § 13a

Title 15Commerce and Trade

Last Updated

Apr 6, 2026

Release point: 119-73