Minneapolis, MN asked in Consumer Law and Business Law for Minnesota

Q: Is it legal to sell or resell consumer electronics over the phone and online via recurring payments?

As an LLC with 2 employees, if I were to call customers--with respect to the dNC list-- and have a website to sell or resell consumer electronics at a low initial investment but higher profit margin via recurring payments over 6-15 months like a laptop or tablet for example charging the consumer 12 payments of $59.99 or 15 payments of $79.99, is it legal to do such a thing? Wold I need any licenses? Do I need to enter in a contract with the companies of products I wish to sell, or can I be an unofficial reseller? Is there a cap on the amount of profit I can make off of any one deal?

Related Topics:
1 Lawyer Answer
Lucas Wynne
Lucas Wynne
  • St. Louis Park, MN
  • Licensed in Minnesota

A: Although you would be wading into a grey area, I would state that there are certainly ways for the original manufacturers to sue you in this scenario. I suggest becoming an authorized retailer/reseller rather than attempt to game the system. I would also add that becoming an authorized reseller would greatly increase your profit margin.

Justia Ask a Lawyer is a forum for consumers to get answers to basic legal questions. Any information sent through Justia Ask a Lawyer is not secure and is done so on a non-confidential basis only.

The use of this website to ask questions or receive answers does not create an attorney–client relationship between you and Justia, or between you and any attorney who receives your information or responds to your questions, nor is it intended to create such a relationship. Additionally, no responses on this forum constitute legal advice, which must be tailored to the specific circumstances of each case. You should not act upon information provided in Justia Ask a Lawyer without seeking professional counsel from an attorney admitted or authorized to practice in your jurisdiction. Justia assumes no responsibility to any person who relies on information contained on or received through this site and disclaims all liability in respect to such information.

Justia cannot guarantee that the information on this website (including any legal information provided by an attorney through this service) is accurate, complete, or up-to-date. While we intend to make every attempt to keep the information on this site current, the owners of and contributors to this site make no claims, promises or guarantees about the accuracy, completeness or adequacy of the information contained in or linked to from this site.