Lokar, Inc. (“Lokar”) constantly strives to supply dedicated automotive enthusiasts with the
newest innovative and technological products from our manufacturing and testing facilities.
These new product innovations reflect the large investments Lokar has made in research and
development, as well as in marketing, promoting, advertising and customer support in order to
translate these innovations into a superior experience for the consumer. Similarly, our existing
products reflect both past premium quality investment efforts and an ongoing commitment to
providing the highest quality premium products. Lokar recognizes and seeks to promote the
goodwill and premium-brand image associated with all of its products.
Lokar believes that its objectives require resellers of its goods to provide superior service and
quality consumer support at all levels, maintain proper inventory levels, and promote the Lokar
premium brand image with a focus on product performance, features and benefits. We likewise
believe that Lokar’s image and the investment that Lokar and its direct customers make in the
introduction and marketing of new and existing products are undermined by entities that
engage in unfair or deceptive advertising practices. We condemn such advertising practices.
Further, advertising at sub-premium prices may improperly imply sub-premium products and
service.
Lokar has unilaterally established this Minimum Advertised Price Policy (“MAPP”) to protect
and preserve the value, goodwill, premium image, reputation and competitive standing of the
Lokar brand and to ensure that Lokar products are displayed in a high quality manner that
enhances their market performance.
Reseller must properly represent and promote the quality image and superior goodwill
associated with Lokar products.
Reseller must not advertise used products as new products, and must not advertise new
products as used products.
Reseller must not sell or market Lokar products in any way that disparages or injures Lokar or
its products.
Reseller must not engage in unfair or deceptive advertising practices or in any form of
advertising or advertising practices that violate any federal, state or local laws or ordinances,
including without limitation “bait and switch.”
This MAPP covers all resellers of Lokar products located in the United States and Canada.
Lokar has established a manufacturer’s suggested retail price (“MSRP”) for each of its products.
Resellers remain free to establish the actual prices at which they will sell Lokar products. Valueadded resellers may find that they can command prices above the MSRP.
Lokar has established a minimum advertised price (MAP) for each of its products. MAP applies
only to advertised prices and does not apply to the price at which Lokar products are actually
sold, nor does it prohibit advertised prices that are higher than Lokar’s MAP.
This MAPP applies to all advertisements of any Lokar products in all media including, without
limitation, online catalogs, mail order catalogs, television, radio, public signage, flyers, posters,
coupons, mailers, inserts, newspapers, magazines, and all internet or similar electronic media,
including websites, e-mail newsletters, forums, social media sites, apps, and auction sites.
Website features such as Raffles/Waffles, games of chance, “click for price,” automated
“bounce-back” pricing e-mails, automatic price display for any items prior to being placed into a
customer’s shopping cart, and special “in-cart” pricing are considered to be communications
initiated by the reseller (rather than the customer) and constitute “advertising” under this
MAPP.
Where any Lokar product is bundled with or sold as part of a package that includes other
products (whether or not manufactured by a Lokar company), it shall be a violation of this
MAPP to sell or advertise the bundle (or package) at a price that (a) is lower than the total MAP
of the Lokar product(s) in the bundle/package or (b) violates the letter or spirit of the MAPP.
It shall be a violation of this MAPP to include in any advertising for a Lokar product any
additional discount, coupon, gift card, or incentive that translates into an immediate price
reduction, where the cumulative effect would be to reduce the advertised price of the Lokar
product below such product’s MAP. If a discount, coupon, third-party website coupon, club
member discount, account membership discount or any reduction in the price of the product of
any kind is advertised in conjunction with Lokar products, such reductions will be considered a
reduction to the price shown in the advertisement. Multiple Reductions may not be “stacked” if
that would result in a price below the MAP. Lokar-sponsored “manufacturer’s rebates” or
other, similar Lokar-sponsored promotions shall be exempt from this provision.
Each advertisement of any Lokar product below its MAP will be considered a violation of this
MAPP.
Selling any or all of the Lokar product lines to a reseller that is on the Lokar Do Not Sell list
constitutes a violation of this MAPP.
Selling any or all of the Lokar product lines to or through any reseller who is in non-compliance
with this MAPP constitutes a violation of this policy.
Reseller must clearly identify the full model name of the product being advertised when a price
is listed (i.e., TC-1000HT). Part numbers that can be created and/or have many options that
impact the price of the product (i.e., shifters) must be advertised accurately to the
description/picture of the actual product being sold (i.e., It will be considered a violation of this
MAPP to show the price of a 6” Tailmount Shifter while showing a picture and/or description of
a 23” Transmount Shifter).
Pursuant to this MAPP, prices online do not include a price that is displayed in an online
“shopping cart” as a final stage of an online purchase, so long as the end user enters the final
stage on his/her own without any reference on the website that a lower price will be found at
the final purchasing stage. For example, an online shopper may view on-screen a Lokar product,
may select specifications for that product (such as length, color, finish, application, etc.), may
add that product to shopper’s shopping cart, and may click to check out. Any price displayed at
that point in the purchase process, even if before credit card information and shipping address
are entered, is not governed by this MAPP. By contrast, any “click for price,” “mouse over for
price,” “see price in cart” or “add to cart for price” button or any other method on a website
intended to solicit potential customers to put the product in a cart that ultimately displays a
price lower than the MAP violates this MAPP. This MAPP applies to a price that appears in a
hover cart (pop-up view of shopping cart that appears on the shopping page) before an online
consumer arrives at the final shopping cart to complete a purchase.
If a reseller advertises or offers a “special discount” or store-wide sale with a blanket
percentage or dollar amount off all store merchandise that results in an advertised price lower
than the MAP, it will be considered a violation of this MAPP unless said reseller has received
prior written consent from Lokar.
If a reseller lists products by auction, or by advertising “best offer” (or a variation) pricing it will
be considered a violation of this MAPP.
Due to fluctuations in the exchange rate between the U.S. Dollar and the Canadian Dollar and
other factors that may affect the import of our products into Canada, Lokar will review
Canadian MAP prices periodically and adjust our Canadian MAP pricing as we deem, in our sole
discretion, advisable. Resultant changes to the Lokar Canadian MAP pricing will be
communicated to our resellers via updated pricing bulletins.
It shall not be a violation of this MAPP to advertise in general that the reseller has the lowest
prices, will match or beat its competitors’ prices, or use similar phrases so long as the reseller
does not include any advertised price below MAP, does not include a specific reference to any
Lokar product in connection with such general advertising, and otherwise complies with this
MAPP.
It shall not be a violation of this MAPP for a reseller to advertise that a consumer may “call for
price” or “e-mail for price,” so long as no price below MAP is listed.
Offers for free or discounted shipping, free installation, and post sales services will not be
considered a violation of this MAPP so long as no price below MAP is listed.
Discount certificates or coupons that may be used toward future purchases may be advertised,
and will not be considered a violation of this MAPP, if it is offered in connection with the
purchase of all brands of product in a product category and not just in connection with Lokar
products and no price below MAP is listed.
Lokar periodically circulates to its resellers a current listing of Lokar products, along with their
MSRP and MAP. Resellers must ensure that they are following the latest listing. The products,
MSRP and MAP may be changed from time to time at Lokar’s sole discretion.
Failure to comply with this MAPP for any Lokar product is considered a violation to this MAPP
for all Lokar products. At its sole discretion, Lokar may deal with MAPP violations by taking
steps to include but not limited to any or all of the following:
• Reduction or Revocation of Discounts and other purchasing privileges or benefits across
any or all of Lokar and/or its companies.
• Refusal or Cancellation of Orders for any or all products of Lokar and/or its companies.
• Revocation of reseller’s status as an Authorized reseller of Lokar and/or its companies.
• Addition of reseller’s name to the Lokar Unauthorized Reseller list – which applies to all
Lokar products.
• Addition of reseller’s name to the Lokar Do Not Sell list – which applies to all Lokar
products.
• Revocation of reseller’s authorization to use Lokar’s trademarked/copyrighted images
and/or text, including marketing material, product descriptions and Lokar company
information.
Lokar reserves the right to change or discontinue this MAPP at any time, and no reseller should
have any expectation or right to rely on the continued existence of this MAPP or Lokar’s
enforcement of this MAPP. Lokar reserves the right at any time to designate promotional
periods during which the terms of this MAPP change, or to designate periods of time during
which this MAPP is not applicable.
Products sold under the following brands are covered by this MAPP:
• Clayton Machine Works®
• Lokar®
• Lokar Motorsports ®
• Lecarra®
• LS Classic Series®
Discontinued products and promotional items, such as decals, apparel, posters, and banners
are exempt from this MAPP. Impaired products (i.e. products that are used, rebuilt,
refurbished, or damaged) are exempt from this MAPP so long as any advertising of such
products clearly and prominently states the nature of the impairment.
This MAPP is a unilateral statement by Lokar. It does not constitute an offer subject to
acceptance and it forms no part of any contractual relationship. This MAPP does not constitute
a contract, an offer to form a contract or any part of any mutual understanding. Rather, this
MAPP describes the terms under which Lokar chooses, in its sole business judgment and
discretion, to market and promote its products. Lokar does not seek and will not accept any
acceptance, offer, or agreement to comply with this MAPP.
Except for the person designated to monitor the e-mail address identified below, Lokar
personnel will not have any contact, written or oral, with resellers about this MAPP and will
neither seek nor receive any offer or statement of willingness by any resellers to comply with
this MAPP. Any communications about this MAPP should be sent only to MAPP@lokar.com.
Lokar does not discuss and will not discuss any retail account or reseller with any other account
or reseller. Lokar, in its sole discretion, may investigate inquiries, concerns and questions
received, but typically will not send a response concerning such concerns or questions.
This MAPP supersedes all previous versions of the Lokar, Inc., pricing and advertising policies.
Besides monitoring and MAP policy enforcement we also develop a healthy relationship with your compliant sellers.
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