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Practice Of Real EstateAntitrustMEDIUM

A property management company requires all tenants to purchase renter's insurance through the company's own affiliated insurance agency. What antitrust issue could this create?

Correct Answer

D) A tie-in arrangement that conditions one service on purchasing another

Requiring tenants to buy insurance only from an affiliated company as a condition of tenancy can be a tie-in arrangement, because one product (the lease) is conditioned on purchasing another product (specific insurance).

Answer Options
A
Price fixing among competing landlords
B
A group boycott of independent insurance agents
C
Market allocation between insurance companies
D
A tie-in arrangement that conditions one service on purchasing another

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Related Topics & Key Terms

Key Terms:

antitrustpracticetie_inproperty_management
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