The substantive provisions of section 2(d) and (e) apply only under certain circumstances. Section 2(d) applies only to:
A seller of products
Engaged in interstate commerce
That either directly or through an intermediary
Pays a customer for promotional services or facilities provided by the customer
In connection with the resale (not the initial sale between the seller and the customer) of the seller's products
Where the customer is in competition with one or more of the seller's other customers also engaged in the resale of the seller's products of like grade and quality.
Section 2(e) applies only to:
A seller of products
Engaged in interstate commerce
That either directly or through an intermediary
Furnishes promotional services or facilities to a customer
In connection with the resale (not the initial sale between the seller and the customer) of the seller's products
Where the customer is in competition with one or more of the seller's other customers also engaged in the resale of the seller's products of like grade and quality.
Additionally, section 5 of the FTC Act may apply to buyers of products for resale or to third parties. See § 240.13 of these Guides.
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