Competition Law Compliance Policy
Compliance with the law and conducting business in an ethical manner are trusted hallmarks of SCMAO. SCMAO is committed to complying with the Competition Act in letter and in spirit. The purpose of Canadian competition law is to maintain and encourage effective competition in Canada for the benefit of consumers.
Responsibility for compliance with the Act rests with each and every member of the SCMAO community. Because the nature of a professional association means that members are often business competitors, before, during and after any event where SCMAO members and staff congregate (such as the Annual Conference, PD seminars or networking socials) SCMAO and its members must not discuss or exchange competitively sensitive information.
The Act addresses, among other things, conspiracy (such as price fixing, market allocation and output restriction), bid-rigging, false or misleading representations, mergers, refusal to deal, price maintenance, exclusive dealing, tied selling, market restrictions and abuse of dominance.
Topics to avoid
When attending an SCMAO event or course, refrain from discussing sensitive or competitive information with your fellow members. This includes (but is not limited to):
- DO NOT discuss territorial restrictions, allocation of customers, restrictions on types of products, or any other kind of market division that could have an anti-competitive impact;
- DO NOT discuss or exchange data regarding individual company fees, rates, price changes, conditions of sale (including payment terms and periods of guarantee), price differentials, discounts or industry pricing patterns (if the latter exists), profit levels or profit margin, or features that can impact (raise, lower or stabilize) prices such as discounts, costs, rebates, surcharges, payment or credit terms, or terms and conditions of sale);
- DO NOT discuss industry production, capacity, elimination of products or services, marketing practices, or inventories (including planned or anticipated changes regarding those matters), except to the extent necessary to achieve legitimate objectives of SCMAO;
- DO NOT discuss individual production or distribution costs, cost accounting formulas, methods of computing costs;
- DO NOT discuss individual company figures on market shares, sources of supply or production;
- DO NOT share information as to future plans of individual companies concerning production, marketing and sales;
- DO NOT discuss matters relating to individual suppliers, distributors or customers;
- DO NOT agree with competitors to divide up customers, markets or territories;
- DO NOT agree with competitors not to deal with certain suppliers or others;
- DO NOT try to prevent an actual or potential supplier from selling to your competitor(s);
- DO NOT discuss any aspect of a proposed bid, including whether or not that member intends to submit or withdraw a bid; and
- DO NOT discuss any efforts to collectively discontinue supplying certain customers or dealing with specific suppliers (i.e. boycotts).
To read SCMAO’s complete “Competition Law Compliance Policy,” click here (PDF, 240.46 KB) .