§3501 — Title 15 Commerce and Trade | U.S. Code

Summary

Allows companies to include and enforce exclusive territorial rights in trademark licensing deals for making, distributing, and selling trademarked soft drinks, including when done by sublicensees, agents, or subcontractors. These limits are allowed if the product faces real competition from similar drinks in the relevant market.

Title 15, §3501

Commerce and Trade — Source: USLM XML via OLRC

Nothing contained in any antitrust law shall render unlawful the inclusion and enforcement in any trademark licensing contract or agreement, pursuant to which the licensee engages in the manufacture (including manufacture by a sublicensee, agent, or subcontractor), distribution, and sale of a trademarked soft drink product, of provisions granting the licensee the sole and exclusive right to manufacture, distribute, and sell such product in a defined geographic area or limiting the licensee, directly or indirectly, to the manufacture, distribution, and sale of such product only for ultimate resale to consumers within a defined geographic area: Provided, That such product is in substantial and effective competition with other products of the same general class in the relevant market or markets.

Notes & Related Subsidiaries

Statutory Notes and Related Subsidiaries

Short Title

Pub. L. 96–308, § 1, July 9, 1980, 94 Stat. 939, provided that: “This Act [enacting this chapter] may be cited as the ‘Soft Drink Interbrand Competition Act’.” Suspension of Statute of Limitations on Institution of Antitrust Proceedings by United States;

Enforcement

of Trademark Licensing Agreement Provisions Concerning Soft Drink Products Pub. L. 96–308, § 4,

July 9, 1980, 94 Stat. 939, provided that: “In the case of any proceeding instituted by the United States described in subsection (i) of section 5 of the Clayton Act (relating to suspension of the statute of limitations on the institution of proceedings by the United States) (15 U.S.C. 16(i)) which is pending on the date of the enactment of this Act [

July 9, 1980], that subsection shall not apply with respect to any right of action referred to in that subsection based in whole or in part on any matter complained of in that proceeding consisting of the existence or

Enforcement

of any provision described in section 2 of this Act [this section] in any trademark licensing contract or agreement described in that section.”

§3501 Exclusive Territorial Licenses to Manufacture, Distribute, and Sell Trademarked Soft Drink Products; Ultimate Resale to Consumers; Substantial and Effective Competition

Summary

Title 15, §3501

Notes & Related Subsidiaries

Statutory Notes and Related Subsidiaries

Short Title

Enforcement

Enforcement

Citations & Metadata