By Kelly Fiveash for The Register. This
story was reproduced with permission.
The computer giant has complained to a number of well-known
online retailers which were buying iPods in the US – where they
sell for £15 less than the UK– and then selling them at a
knocked-down price to customers in Blighty.
The undertakings issued by London law firm Bird & Bird and
seen by The Register, demand e-tailers stop selling what
it described as “Grey iPods” anywhere in Europe.
The Cupertino-based firm also threatened to bring legal action
against any e-tailer outfit that “infringes” Apple’s rights.
It told the 11 UK e-tailers that they shouldn't "in future
import into the EEA [European Economic Area] offer, sell or
otherwise put on the market in the EEA any products bearing the
rights (save where such products have been first put on the market
in the EEA by Apple itself or with Apple’s express consent) or
assist any other to do so”.
Apple also requested that the details of suppliers who provided
the “Grey iPods” be handed over to the firm. Companies which have
settled are also expected to pay a contribution to Apple’s legal
expenses and damages.
Grey markets exist where companies maintain different prices for
different regions.
The company’s apparent clampdown was slammed by one e-tailer who
asked to remain anonymous.
He told The Register that customers were benefiting
from the cost-savings made by e-tailers bringing in iPods at a
cheaper price. He also accused Apple of "price-fixing the
market".
"It's all a bit of a farce really, but no one will take them
[Apple] on in the real world. The company is just too big."
A Bird & Bird spokesman told us the firm was unable to
comment on details of the undertakings issued because it was a
sensitive ongoing legal matter.
We also asked Apple to provide comment on the letters, but it
has yet to return our call.
© The Register
2008
