Can I demand that my products are only sold in certain stores?
February 19, 2023 | 40,00 EUR | answered by Sophia Breitwieser
Dear Sir/Madam Attorney,
I have a question regarding my competition law as a manufacturer of products. My name is Gerda Friedendahl and I distribute high-quality handmade jewelry. So far, my products have been sold in selected boutiques and online shops that meet my quality standards.
Now I have noticed that my products are also being offered in stores that do not correspond to my image and brand. This not only leads to a dilution of my brand image, but also to confusion among my customers who associate my products with high quality and exclusivity.
My concern is that the sales of my products could be affected by these unwanted distribution channels. Therefore, I wonder if legally I can demand that my products can only be sold in certain stores that meet my quality standards.
Are there legal options to ensure that my products can only be offered in selected distribution channels? What steps can I take to address the unwanted distribution of my products and protect my brand image?
Thank you in advance for your help and support.
Sincerely,
Gerda Friedendahl
Dear Mrs. Friedendahl,
Thank you for your inquiry regarding your competition law as a manufacturer of high-quality handmade jewelry. It is understandable that you are concerned about the dilution of your brand image through the unwanted distribution of your products in stores that do not meet your quality standards. I will now outline legal options for you to take action against this unwanted distribution and protect your brand image.
First and foremost, it is important to mention that competition law in Germany aims to ensure fair competition between companies. This also includes the protection of brands and their image. In your case, you could rely on trademark law to take action against the unwanted distribution of your products. As the owner of the trademark, you have the right to decide where and how your products are distributed.
One way to ensure that your products are only offered in selected distribution channels is to establish selective distribution systems. You can contractually specify with your distribution partners in which stores your products may be sold and which quality standards they must meet. Through such agreements, you can ensure that your brand image is maintained.
If there is still unwanted distribution of your products, you can take legal action against the relevant retailers. In this case, injunction claims can be asserted to stop the distribution of your products in unwanted distribution channels. Compensation claims may also be considered if you suffer financial harm from the unwanted distribution.
In such a case, it is advisable to consult a specialized attorney in competition law to fully explore your legal options. The attorney can provide comprehensive advice and support you in enforcing your claims.
I hope this information is helpful to you and I am available for further questions.
Sincerely,
Sophia Breitwieser, Attorney at Law specializing in Competition Law
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