VEX Robotics, Inc. actively supports the advertising and promotion of its products by its domestic dealers and distributors through materials provided by VEX Robotics, Inc. at no or nominal cost. VEX Robotics, Inc. has built a strong reputation and following among consumers and has determined that it shall not support through advertising or promotional materials, cooperative advertising or otherwise, advertisements or promotional materials that have the effect of diminishing or detracting from the perceived value of VEX Robotics, Inc. products. Effective as of May, 2010, VEX Robotics, Inc. has established a minimum advertised price (“MAP”) on all VEX Robotics, Inc. products including but not limited to VEX EDR, VEX IQ, VEXplorer, and VEX PRO. The policy applies only to U.S. and Canadian dealers and distributors.
The MAP policy shall work under the following guidelines:
- 1. The MAP for all genuine VEX Robotics, Inc. products is listed on each genuine VEX Robotics, Inc. price sheet for dealers and distributors as the retail price. MAP pricing is established by VEX Robotics, Inc. for all genuine VEX Robotics, Inc. products and may be adjusted by VEX Robotics, Inc. at its sole discretion.
- 2. The MAP policy applies to all advertisements of genuine VEX Robotics, Inc. products in any and all media, including, without limitation, flyers, posters, coupons, mailers, inserts, newspapers, magazines, catalogs, mail order catalogs, Internet or similar electronic media, television, radio, and public signage. The MAP policy is not applicable to any in-store advertising that is not distributed to any customer.
- 3. The inclusion in advertising of free or discounted products (whether made by VEX Robotics, Inc. or another manufacturer) with a product covered by the MAP policy would be contrary to the policy if it has the effect of discounting the advertised price of the covered product below the MAP.
- 4. MAP applies only to advertised prices and does not apply to the price at which the products are actually sold or offered for sale to an individual consumer within the dealer’s retail location or over the telephone. VEX Robotics, Inc. dealers and distributors remain free to sell these products at any prices they elect.
- 5. MAP does not establish maximum advertised prices. All dealers and distributors may offer VEX Robotics, Inc. products at any price in excess of the MAP established for such product.
- 6. VEX Robotics, Inc.’s MAP policy does not in any way limit the ability of any dealer to advertise that “they have the lowest prices” or, they “will meet or beat any competitors price”, that consumers should “call for a price” or phrases of similar import as long as the price advertised or listed for the products is not less than MAP.
- 7. From time to time VEX Robotics, Inc. may discontinue models or engage in promotions with respect to certain products. In such events, VEX Robotics, Inc. reserves the right to modify or suspend the MAP with respect to the affected products by notifying all dealers of such change. VEX Robotics, Inc. further reserves the right to adjust the MAP with respect to all or certain products at its sole discretion upon 7 days advance written notice to the dealers and distributors, provided that such changes shall apply equally to all VEX Robotics, Inc. dealers and distributors.
- 8. Intentional and/or repeated failure to abide by this policy will result in termination of dealership or distributorship. VEX Robotics, Inc. does not intend to do business with dealers or distributors who degrade the image of VEX Robotics, Inc. and its products. VEX Robotics, Inc. will not provide prior notice or issue warnings before taking any action under this policy.
- 9. The terms of this MAP policy are confidential and should not be disclosed to other parties.
This MAP policy has been established by VEX Robotics, Inc. to help ensure the legacy of VEX Robotics, Inc. as a top producer of high performance, high quality, professional products and to protect the reputation of its name and products. The MAP policy is also designed to ensure dealers and distributors have the incentive to invest resources into services for VEX Robotics, Inc. customers.