On June 23, 2014, the Antitrust Division of the Department of Justice and the Federal Trade Commission (FTC) held a joint workshop to discuss legal and policy issues surrounding conditional pricing practices and their implications for antitrust enforcement. The workshop was prompted by the recognition, at both agencies, that the economic complexities surrounding such practices are quite complex and that the legal framework for analyzing conditional pricing practices remains in flux.

Overview

Conditional pricing practices are commonly referred to as loyalty contracts and/or bundled discounts. Such practices are pervasive in our economy and can be found in many different forms, such as fast-food meal combos, season tickets, and frequent buyer cards. The fact that these types of practices are offered by a diverse group of sellers demonstrates how vital of a role they play in our economy.