Plaintiff State alleged that JAMS unlawfully used its market power to require contractors to buy non-proprietary equipment such as cabinet housing and other hardware as a condition of purchasing the propriety products for which it had exclusive distribution rights.
The settlement requires JAMS to pay $105,000 in civil penalties and $105,000 to reimburse the state for attorneys fees and investigative costs. Additionally, for a period of five years, JAMS is prohibited from conditioning the sale of proprietary equipment on the purchase of non-proprietary equipment. Additionally, JAMS cannot refuse to sell proprietary products for which it has exclusive distribution rights. To help the court and Attorney General’s Office enforce the settlement, JAMS must retain and make available copies of all quotes and invoices related to the sale of traffic signal equipment.