1 December 2010PatentsRoss Bulla

Unwelcome diversions

Diversion (also known as gray market, parallel distribution or parallel importation) is generally a legal activity that is usually a civil contractual matter, and is intended to take advantage of available price differences. Diverted products are often imported from markets in which manufacturing costs or taxes are lower, or reimported (a process called the ‘U-boat’, after the u-turn that a ship makes after departing the dock) to evade taxes and tariffs altogether.

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