secret rebate

secret rebate

n. a kick-back of money by a business to a "preferred" customer, not offered to the public, or by a subcontractor to a contractor not shown on a job estimate. Both are illegal in most states as unfair business practices and may result in criminal penalties or refusal of a court to enforce a contract (written or oral) in which there is such a secret rebate. (See: rebate)

Mentioned in ?
References in classic literature ?
This railroad magnate broke his word as a citizen, as a gentleman, and as a Christian, when he granted a secret rebate, and he granted many secret rebates.
District Court in Iowa after proving U.S sold printing press equipment in 1996 and issued a secret rebate. Goss employs about 750 people at its plants in Durham, N.H.
It alleges a secret rebate through through false document dating and use of another supplier, disguised free installation, discounted controls and inkers, a misleading final- payment report, contract dates misreported to reflect a favorable exchange rate, a price "artificially inflated" by a promised future discount, and underreported expenses.
The elder Rockefeller's influence may have fostered such behavior in his son as bribing legislators, paying secret rebates to the railroads, and engaging in industrial espionage.