Toy company’s hefty penalty: Alleged violation of FTC order

(April 17, 2011) -- Toy retail giant Toys “R” Us has agreed to a civil judgment of $1.3 million to settle charges that the company violated a previous FTC order. In 1998, after a 43 day trial, the FTC issued an order against Toys “R” Us that barred the company from “urging... coercing, or pressuring” suppliers to refuse to sell or reduce supply of products to toy discounters, such as Sam’s Club and BJ’s Wholesale Club. The order prohibited Toys “R” Us from requesting information from suppliers about sales to toy discounters and required Toys “R” Us to maintain records of communications with suppliers....

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