# Your product, my label. Legal?

**URL:** <https://boards.straightdope.com/t/your-product-my-label-legal/79805>\
**Category:** Factual Questions\
**Created:** [September 5, 2001, 4:26am UTC](https://boards.straightdope.com/t/your-product-my-label-legal/79805 "2001-09-05T04:26:23Z")\
**Posts on this page:** 6\
**Page:** 2

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**Author:** ![lucwarm](https://avatars.discourse-cdn.com/v4/letter/l/e19adc/32.png) [@lucwarm](https://boards.straightdope.com/u/lucwarm)\
**Post date:** [September 5, 2001, 6:32pm UTC](https://boards.straightdope.com/t/your-product-my-label-legal/79805/21 "2001-09-05T18:32:22Z")

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> [@](#):
>
> \*Originally posted by Terminus Est \*  
> \*\*
> 
> I don’t want to hijack OP. I can see this heading off to **Great Debates** very quickly. Care to post your question there? \*\*

No need – I think everyone knows the answer. 😉

Carry on.

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**Author:** ![missdavis102](https://avatars.discourse-cdn.com/v4/letter/m/7feea3/32.png) [@missdavis102](https://boards.straightdope.com/u/missdavis102)\
**Post date:** [September 5, 2001, 6:45pm UTC](https://boards.straightdope.com/t/your-product-my-label-legal/79805/22 "2001-09-05T18:45:13Z")

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This setup is legal as long as both producer and labeller agree to the arrangement. I used to work for a computer hardware manufacturer that, in addition to making boxes under its own brand name, also got a contract to build a particular box under their top competitor’s name. They then sold the other-named boxes to the other company at a huge discount from retail (but above cost of course), and as far as I know, the customers were none the wiser. The specs were different, of course, and they may have had slightly different features, but basically it was our technology with their label.

The term for this arrangement is **OEM** , but I don’t remember offhand what the acronym stands for. It’s on the tip of my brain, and I’ll repost when I think of it.

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**Author:** ![barbitu8](https://avatars.discourse-cdn.com/v4/letter/b/839c29/32.png) [@barbitu8](https://boards.straightdope.com/u/barbitu8)\
**Post date:** [September 5, 2001, 6:51pm UTC](https://boards.straightdope.com/t/your-product-my-label-legal/79805/23 "2001-09-05T18:51:17Z")

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> [@](#):
>
> \*Originally posted by lucwarm \*  
> \*\*
> 
> > [@](#):
> >
> > \*Originally posted by Terminus Est \*  
> > \*\*
> > 
> > > [@](#):
> > >
> > > \*\*In fact, it’s a problem on the internet, where many companies give information away for free. \*\*
> > 
> > This is called copyright infringement, and there are already laws against it. \*\*
> 
> It’s been a while since I studied the subject, but I believe that information per se cannot be copyrighted.
> 
> An example:
> 
> Suppose that AT&T sets up a national online phone directory. Later, I set up “Lucwarm’s phone [directory.com](http://directory.com)”  
> My site simply retrieves phone numbers from the AT&T site and supplies them to my users.
> 
> Have I infringed anyone’s copyright? \*\*

If that were true, no dictionary, almanac, encyclopedia, etc. could be copyrighted. The compilation of such info can be copyrighted. Altho an online phone directory is made available to the public, it is not available to be used by some one else in infringement of the copyright laws.

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**Author:** ![tisiphone](https://avatars.discourse-cdn.com/v4/letter/t/bbe5ce/32.png) [@tisiphone](https://boards.straightdope.com/u/tisiphone)\
**Post date:** [September 5, 2001, 7:06pm UTC](https://boards.straightdope.com/t/your-product-my-label-legal/79805/24 "2001-09-05T19:06:03Z")

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> [@](#):
>
> \*Originally posted by missdavis102 \*  
> [B  
> The term for this arrangement is **OEM** , but I don’t remember offhand what the acronym stands for. It’s on the tip of my brain, and I’ll repost when I think of it. \*\*

**O** riginal **E** quipment **M** anufacturer.

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**Author:** ![lucwarm](https://avatars.discourse-cdn.com/v4/letter/l/e19adc/32.png) [@lucwarm](https://boards.straightdope.com/u/lucwarm)\
**Post date:** [September 5, 2001, 7:18pm UTC](https://boards.straightdope.com/t/your-product-my-label-legal/79805/25 "2001-09-05T19:18:12Z")

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> [@](#):
>
> \*Originally posted by barbitu8 \*  
> \*\*
> 
> If that were true, no dictionary, almanac, encyclopedia, etc. could be copyrighted. The compilation of such info can be copyrighted. Altho an online phone directory is made available to the public, it is not available to be used by some one else in infringement of the copyright laws. \*\*

Oops, the hijack continues. But let me confess that I chose the example of a phone directory intentionally.

> [@](#):
>
> The US Supreme Court ruled in early 1991 that the telephone white pages are not protected by copyright law because they do not contain any ‘original expression’. Creativity in the selection or arrangement of the facts is necessary before a compilation is covered by copyright law, otherwise the facts can be copied by anyone, even somebody preparing a competing compilation. This decision has far-reaching implications for copyright claims in fact compilations, especially for electronic information services. The Feist Publications vs. Rural Telephone Service ruling and its implications are discussed in detail.

Check out this link and see if you agree with me:

[http://www.eff.org/Intellectual\_property/ip\_and\_electronic\_data.paper](http://www.eff.org/Intellectual_property/ip_and_electronic_data.paper)

By the way, this is my understanding of how the law stood several years ago. If it has changed, please feel free to correct me.

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**Author:** ![missdavis102](https://avatars.discourse-cdn.com/v4/letter/m/7feea3/32.png) [@missdavis102](https://boards.straightdope.com/u/missdavis102)\
**Post date:** [September 5, 2001, 7:22pm UTC](https://boards.straightdope.com/t/your-product-my-label-legal/79805/26 "2001-09-05T19:22:31Z")

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Thanks for the assist, **tisiphone**! So in theory, **pkbites** could contract with Hunts to make ketchup and stick his label on it, then sell it to him just above cost, and he could sell it retail. As long as both parties agree, and the product is up to regulations set by the FDA, Clean Food Act, etc, this is in the clear.

Isn’t this the same or a similar setup to how store brand products get manufactured? After all, Kroger doesn’t have a sody-pop making division (do they?), and they have to get it from somewhere.

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