MINIMUM ADVERTISED PRICE POLICY
Heritage Worth Protecting.
With a 60 year heritage born out of salty Santa Cruz, California, the O’Neill brand has developed a global reputation for authentic, high quality products. Advertising that properly maintains the brand’s premium image will only further enhance the demand for O’Neill products, as well as its competitive position.
To protect and further its reputation, and to help ensure that top retail dealers are further incentivized to carry O’Neill products, La Jolla Sport USA, Inc. (aka “O’Neill Clothing) has adopted this minimum advertised price policy (“MAP Policy”). The goal is to discourage all O’Neill retail dealers from denigrating the quality of O’Neill apparel products through advertising that does not reflect the brand’s reputation and competitive position in the marketplace.
Effective immediately, this MAP Policy will apply to all retail dealers who carry O’Neill apparel products.
1. Policy. No retail dealer of Covered Products may advertise a Covered Product at a price lower than the MAP Price via any form of Advertising.
2. Resale. Channels of Distribution and Third Party Retail. O’Neill requires that products, including sale items or “close-outs”, be distributed for retail sale only through channels that are appropriate for the superior reputation, quality-control standards and public image of the brand.
Retail dealers may only sell directly to consumers. Only “private label” websites may carry the O’Neill-branded products, and retail dealers may not resell using other websites (such as, but not limited to, Amazon Marketplace, Wal Mart, Backcountry, etc.) at discounted prices.
O’Neill, may withdraw approval of any retail dealer account at any time if it determines, in its sole discretion, that advertising, marketing, promotion or sales by any retail dealer is inconsistent with the reputation, quality-control standards and public image of O’Neill.
3. Products. This MAP Policy shall apply to the current season and perennial carryover products (the “MAP Covered Products”) identified by O’Neill and listed below (the “MAP Covered Product List”), as updated by O’Neill according to the following seasonal schedules:
Collection Start Date (mo./day) End Date (mo./day)
Spring Collection 11/15 4/15
Summer 3/15 6/15
Fall 5/15 9/15
Holiday 9/15 12/15
4. MAP Policy Exclusion Dates. To ensure that our retail dealers remain competitive during certain holiday periods, the MAP Policy shall not apply to Covered Products during the following holiday periods (“Holiday Periods”):
2/16 – 2/20 (Presidents Day)
3/25 – 4/5 (Spring Break and Easter)
5/25 – 5/29 (Memorial Day)
6/15 – 6/18 (Father’s Day)
6/20 (International Surfing Day)
6/30 – 7/4 (Independence Day)
8/31 – 9/4 (Labor Day)
11/9 – 11/12 (Veterans Day)
(11/20 – 11/27 (Black Friday & Cyber Monday)
Holiday Period Pricing
Products may be discounted to maximum 30% Off MSRP.
5. MAP Price. The manufacturer’s suggested retail price listed on the Covered Product List shall be deemed the minimum advertised price (“MAP Price”) for each Covered Product pursuant to this MAP Policy. O’Neill may update the list of Covered Products and MAP Prices, as well as the Holiday Periods, at any time without notice, so retail dealers are required to regularly check back to confirm compliance with this MAP Policy.
6. Advertising. This MAP Policy applies to all advertisements of Covered Products in any media, including, for example, flyers, posters, coupons, mailers, inserts, newspapers, magazines, catalogs, mail order catalogs, SMS, Internet or similar electronic media, television, radio, and public signage (the “Advertising”).
7. Covered Advertisements. This MAP Policy applies to all forms of Advertising that may have a direct or indirect effect of discounting the advertised price of a Covered Product, such as, for example, advertising of rebates, gift cards, free gifts, or bundling or other free or discounted products (whether made by O’Neill or not) in relation to a Covered Product. Internet auctions (such as, but not limited to eBay) may not display or have a reserved bid or other acceptable price below the MAP Price.
8. Advertising Statements. No retail dealer may make any statements or other indication on its website or otherwise in connection with any Covered Product that indicates or implies that a lower price may be found, including, for example, the following:
• “Click here for lower price”
• “See price in cart”
• “Log-in for price”
• “Add to cart for lower price”
• “Mouse over for price”
• “Email or call for a lower or better price”
• This MAP Policy does not establish maximum advertised prices.
• This MAP policy does not apply to any in-store advertising that is displayed only in the store and not distributed to any customer. In-store displays, point-of-sale signs, hangtags or bar codes or similar marks on Covered Products or packaging that merely state the price are not considered “advertising.” In that regard, this MAP Policy does not apply to the actual sales price on any “check-out page” of any reseller’s website as a final stage of an online purchase, as long as the customer enters the final stage on his or her own without any reference on the website or otherwise that a lower price will be found at the final purchasing stage.
• This MAP Policy does not affect the actual sales price of the Covered Products, just the prices set forth in Advertising.
10. Enforcement. O’Neill is free to determine the best way to market its products, and to select the retail dealers to whom it sells its products. O’Neill will administer this MAP Policy in its own discretion. O’Neill need not provide prior notice or warnings before taking any action under this MAP Policy. O’Neill may determine, among other things, to partially or fully restrict providing promotional funds or other marketing assistance or products to any retail dealer violating this MAP Policy, including any distributor who distributes to a dealer or reseller that has violated this MAP Policy.
11. Waiver. If O’Neill fails at any give time to enforce this MAP Policy, in whole or in part, that failure does not prevent O’Neill from later enforcing all or part of this MAP Policy against any and all violating retail dealers. If O’Neill expressly waives any third party’s violation of a provision of the MAP Policy, that waiver shall not be constructed as waiving any other provision or a later breach of the same provision.
12. Modifications of this MAP Policy. No employee, independent contractor or other agent has any authority to discuss or modify this MAP Policy and any action of any person, which claims to modify this MAP Policy or to solicit or obtain the agreement of any person to this MAP Policy, is unauthorized and invalid. This MAP Policy may only be modified in writing by a duly authorized officer of O’Neill.
13. Confidentiality. This MAP Policy is confidential and may not be disclosed to any third party, except that retail dealers may disclose this MAP Policy to their employees, independent contractors, and other agents solely to the extent necessary to ensure strict comply with this MAP Policy.