State Says Gasoline Discounts Illegal, Store Owner Sues State

[RobRich]

Raj Bhandari is suing the state of Wisconsin over laws requiring him to markup gasoline prices. He was giving senior citizens a $0.02 break per gallon and donors to a local youth hockey league a $0.03 break per gallon. He stopped the discounts when state regulators warned him of the state's Unfair Sales Act on gasoline, which was enacted back in the 1930s.

The law, known as the Unfair Sales Act, makes it illegal for retailers to sell gasoline without marking it up either 6 percent over what they paid or 9.18 percent over the local wholesale price - whichever is higher. Violators face stiff fines from regulators and can be sued by competitors for selling gas too cheap.

....

In addition to the discounts, Bhandari says in the lawsuit he would like to offer free coffee with the purchase of gas and four gallons of free gas every ten visits.

Source: Lansing State Journal

[Steve R Jones]

Big Brother doing it's thing....

[Smidley]

Why won't they just let the market work on its own? I'm pretty disappointed with my state.

[Theophylact]

And today the US Supreme court, for the first time in nearly a century, allowed manufacturers to fix prices. A 5-4 decision, with the usual culprits.

[jokostel]

Why won't they just let the market work on its own? I'm pretty disappointed with my state.

This is what happens when the govt gets too damn big for its own good.
Starts getting nosy,power-hungry... and wanting more.

[M_Six]

The Unfair Sales Act was enacted to keep large gasoline chains, like Exxon, from running Mom-and-Pop stores out of business by selling gas really cheap for months and taking business away from the M&P. Once the M&P store went out of business, the big chain would raise prices. This particular instance is an unintended consequences of an otherwise good law.

[MegalosSkylaki]

The Unfair Sales Act was enacted to keep large gasoline chains, like Exxon, from running Mom-and-Pop stores out of business by selling gas really cheap for months and taking business away from the M&P. Once the M&P store went out of business, the big chain would raise prices. This particular instance is an unintended consequences of an otherwise good law.

I would agree with M_Six
Wisconsin was a rather Populist State with Governer Robert de LaFollette and the Progresive Party. I could see where it would want to protect M&P gas stations from predatory Oligarchies like Standard Oil.

Look what $tarbuck$ is doing with small coffee shops and Barnes and Ignoble with small bookstores. Whenever an independent coffee shop is doing well, $tarbuck$ will open a store very near to it, splitting the market. $tarbuck$ can afford to absorb th temporary loss untill the Independent goes out of business.

The 20% discount on NYTimes bestsellers, coupled with the lower prices the great chains can negotiate with Publishers , is something a small independent bookseller cannot afford. To strengthen their hand against the big chains like B&N and Borders, the Publishers themselves must consolidate.

Eventually we wil have One Bookseller and One Publisher.

MegalosSkylaki

PS NY State has a law against selling cigerettes below cost.

[Gomer]

DOOG,


Look at what BN is doing? Look at what Amazon and the like are doing! Is that good or bad? Are they countering BN or the same thing as them but worse?

I refuse to buy BN books or from any BM bookstore for that matter. Waaaaaaaaaaaaaaaaay too expensive when compared with online... and that is even before looking for used books.

I know this has been off on a tangent... but do you use FireFox? Are you familiar with the BookBurro pluggin? It is a MUST HAVE for anyone who buys books. EXCLAMATION POINT!

And as far as Starbucks goes... I have noticed that others are following the SB model. While they are still running out the independents, at least SB is not the only one doing so. Here in EL, we have Beaners (odd name for a coffee shop when you think about it, works in the Midwest for now though). They started here in the Lansing area and are pressing out across the nation. Just a FWIW is all.

[M_Six]

Curious, does BookBurro include Book closeouts?

[Gomer]

Curious, does BookBurro include Book closeouts?

It does not... neat site though. I am guessing you could petition BB to add them.