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The secret payment or allowance of rebates, refunds, commissions, or unearned discounts, whether in the form of money or otherwise, or secretly extending to certain purchasers special services or privileges not extended to all purchasers purchasing upon like terms and conditions, to the injury of a
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that is made available to some customers or business partners but concealed from others, to the detriment of competition. The practice is usually illegal under state
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Cases interpreting
California's provision include Eddins v. Redstone, 134 Cal. App. 4th 290 (2005) and Cleveland v. Viacom Inc., 73 F. App’x 736 (5th Cir. 2003).
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competitor and where such payment or allowance tends to destroy competition, is unlawful.
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104:"California Code, Business and Professions Code – BPC CA BUS & PROF § 17045"
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California offers an example of a law banning secret rebates:
122:"California Supreme Court Denies Review in Blockbuster Case"
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