Types of Tying
Horizontal tying is the practice of requiring consumers to pay for an unrelated product or service together with the desired one. A hypothetical example would be for Bic to sell its pens only with Bic lighters. (However, a company may offer a limited free item with another purchase as a promotion.)
Vertical tying is the practice of requiring customers to purchase related products or services together, from the same company. For example, a company might mandate that its automobiles could only be serviced by its own dealers. In an effort to curb this, many jurisdictions require that warranties not be voided by outside servicing; for example, see the Magnuson-Moss Warranty Act in the United States.
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