Under section 76 of the Competition Act, the following are “reviewable practices” (i.e., civil matters):
1. For a supplier of goods or services to influence a customer, or another person to whom a product comes for resale, to raise its prices (or discourage the reduction of prices) and competition is adversely affected;
2. To refuse to supply goods or services to a person, or otherwise discriminate against them, based on their low pricing policy and competition is adversely affected; or
3. To induce a supplier, as a condition to dealing with the supplier, to refuse to supply a product to another person because of that other person’s low pricing policy and competition is adversely affected.
Before the Competition Act was amended in 2009, price maintenance was a “per se” criminal offence (i.e., no market effects were needed to be proven), subject to criminal fines and imprisonment.
Price maintenance is now, however, following the 2009 amendments to the Act a civil reviewable practice with a market effects test, under which the Competition Tribunal may make remedial orders based on applications by the Commissioner of Competition or private parties granted leave by the Tribunal.
COMPETITION/ANTITRUST LAW & ECONOMIC TERMS
PRICE MAINTENANCE LINKS AND RESOURCES
Setting Your Own Price (Competition Bureau Pamphlet)
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