- (a) a person referred to in subsection (3) directly or indirectly
- (i) by agreement, threat, promise or any like means, has influenced upward, or has discouraged the reduction of, the price at which the person’s customer or any other person to whom the product comes for resale supplies or offers to supply or advertises a product within Canada, or
- (ii) has refused to supply a product to or has otherwise discriminated against any person or class of persons engaged in business in Canada because of the low pricing policy of that other person or class of persons; and
- (a) is engaged in the business of producing or supplying a product;
- (b) extends credit by way of credit cards or is otherwise engaged in a business that relates to credit cards; or
- (c) has the exclusive rights and privileges conferred by a patent, certificate of supplementary protection issued under the Patent Act , trademark, copyright, registered industrial design or registered integrated circuit topography.
- (a) principal and agent or mandator and mandatary;
- (b) an entity and an individual who controls it or affiliated entities; or
- (c) directors, agents, mandataries, officers or employees of the same entity or of entities that are affiliated.
- (a) was making a practice of using the products as loss leaders, that is to say, not for the purpose of making a profit on those products but for purposes of advertising;
- (b) was making a practice of using the products not for the purpose of selling them at a profit but for the purpose of attracting customers in the hope of selling them other products;
- (c) was making a practice of engaging in misleading advertising; or
- (d) made a practice of not providing the level of servicing that purchasers of the products might reasonably expect.
- (a) proceedings have been commenced against that person under section 45 or 49; or
- (b) an order against that person has been made under section 79 or 90.1.
- R.S., 1985, c. C-34, s. 76
- R.S., 1985, c. 19 (2nd Supp.), s. 45
- 1999, c. 2, s. 37
- 2009, c. 2, s. 426
- 2014, c. 20, s. 366(E)
- 2017, c. 6, s. 124
- 2018, c. 8, s. 112
- 2024, c. 15, s. 245
Exclusive Dealing, Tied Selling and Market Restriction
Marginal note: Definitions
- 77 (1) For the purposes of this section, means
- (a) any practice whereby a supplier of a product, as a condition of supplying the product to a customer, requires that customer to
- (i) deal only or primarily in products supplied by or designated by the supplier or the supplier’s nominee, or
- (ii) refrain from dealing in a specified class or kind of product except as supplied by the supplier or the nominee, and
means any practice whereby a supplier of a product, as a condition of supplying the product to a customer, requires that customer to supply any product only in a defined market, or exacts a penalty of any kind from the customer if he supplies any product outside a defined market; ( limitation du marché )
- (a) any practice whereby a supplier of a product, as a condition of supplying the product (the “tying” product) to a customer, requires that customer to
- (i) acquire any other product from the supplier or the supplier’s nominee, or
- (ii) refrain from using or distributing, in conjunction with the tying product, another product that is not of a brand or manufacture designated by the supplier or the nominee, and
- (a) impede entry into or expansion of a firm in a market,
- (b) impede introduction of a product into or expansion of sales of a product in a market, or
- (c) have any other exclusionary effect in a market,
with the result that competition is or is likely to be lessened substantially, the Tribunal may make an order directed to all or any of the suppliers against whom an order is sought prohibiting them from continuing to engage in that exclusive dealing or tied selling and containing any other requirement that, in its opinion, is necessary to overcome the effects thereof in the market or to restore or stimulate competition in the market.
- (a) exclusive dealing or market restriction is or will be engaged in only for a reasonable period of time to facilitate entry of a new supplier of a product into a market or of a new product into a market,
- (b) tied selling that is engaged in is reasonable having regard to the technological relationship between or among the products to which it applies, or
- (c) tied selling that is engaged in by a person in the business of lending money is for the purpose of better securing loans made by that person and is reasonably necessary for that purpose,
No order made under this section applies in respect of exclusive dealing, market restriction or tied selling between or among entities that are affiliated.
- (a) the business is related to the sale or distribution, in accordance with a marketing plan or system prescribed substantially by the grantor, of a multiplicity of products obtained from competing sources of supply and a multiplicity of suppliers; and
- (b) no one product dominates the business.
- R.S., 1985, c. C-34, s. 77
- R.S., 1985, c. 19 (2nd Supp.), s. 45
- 1999, c. 2, ss. 23, 37, c. 31, s. 52(F)
- 2002, c. 16, ss. 11.2, 11.3
- 2014, c. 20, s. 366(E)
- 2018, c. 8, s. 113
Abuse of Dominant Position
Marginal note: Definition of
- 78 (1) For the purposes of section 79, means any act intended to have a predatory, exclusionary or disciplinary negative effect on a competitor, or to have an adverse effect on competition, and includes any of the following acts:
- (a) squeezing, by a vertically integrated supplier, of the margin available to an unintegrated customer who competes with the supplier, for the purpose of impeding or preventing the customer’s entry into, or expansion in, a market;
- (b) acquisition by a supplier of a customer who would otherwise be available to a competitor of the supplier, or acquisition by a customer of a supplier who would otherwise be available to a competitor of the customer, for the purpose of impeding or preventing the competitor’s entry into, or eliminating the competitor from, a market;
- (c) freight equalization on the plant of a competitor for the purpose of impeding or preventing the competitor’s entry into, or eliminating the competitor from, a market;
- (d) use of fighting brands introduced selectively on a temporary basis to discipline or eliminate a competitor;
- (e) pre-emption of scarce facilities or resources required by a competitor for the operation of a business, with the object of withholding the facilities or resources from a market;
- (f) buying up of products to prevent the erosion of existing price levels;
- (g) adoption of product specifications that are incompatible with products produced by any other person and are designed to prevent his entry into, or to eliminate him from, a market;
- (h) requiring or inducing a supplier to sell only or primarily to certain customers, or to refrain from selling to a competitor, with the object of preventing a competitor’s entry into, or expansion in, a market;
- (i) selling articles at a price lower than the acquisition cost for the purpose of disciplining or eliminating a competitor;
- (j) a selective or discriminatory response to an actual or potential competitor for the purpose of impeding or preventing the competitor’s entry into, or expansion in, a market or eliminating the competitor from a market; and
- (k) directly or indirectly imposing excessive and unfair selling prices.
- R.S., 1985, c. 19 (2nd Supp.), s. 45
- 2000, c. 15, s. 13
- 2009, c. 2, s. 427
- 2022, c. 10, s. 261
- 2023, c. 31, s. 7.1
Marginal note: Prohibition if abuse of dominant position
- 79 (1) On application by the Commissioner or a person granted leave under section 103.1, if the Tribunal finds that one or more persons substantially or completely control a class or species of business throughout Canada or any area of Canada, it may make an order prohibiting the person or persons from engaging in a practice or conduct if it finds that the person or persons have engaged in or are engaging in
- (a) a practice of anti-competitive acts; or
- (b) conduct
- (i) that had, is having or is likely to have the effect of preventing or lessening competition substantially in a market in which the person or persons have a plausible competitive interest, and
- (ii) the effect is not a result of superior competitive performance.
- (a) $25,000,000 and, for each subsequent order under either of those subsections, an amount not exceeding $35,000,000, and
- (b) three times the value of the benefit derived from the anti-competitive practice, or, if that amount cannot be reasonably determined, 3% of the person’s annual worldwide gross revenues.
- (a) the effect on competition in the relevant market;
- (b) the gross revenue from sales affected by the practice;
- (c) any actual or anticipated profits affected by the practice;
- (d) the financial position of the person against whom the order is made;
- (e) the history of compliance with this Act by the person against whom the order is made; and
- (f) any other relevant factor.
- (a) the effect of the conduct on barriers to entry in the market, including network effects;
- (b) the effect of the conduct on price or non-price competition, including quality, choice or consumer privacy;
- (c) the nature and extent of change and innovation in a relevant market; and
- (d) any other factor that is relevant to competition in the market that is or would be affected by the conduct.
- (a) proceedings have been commenced against that person under section 45 or 49; or
- (b) an order against that person has been made under section 76, 90.1 or 92.
- R.S., 1985, c. 19 (2nd Supp.), s. 45
- 1990, c. 37, s. 31
- 1999, c. 2, s. 37
- 2002, c. 16, s. 11.4
- 2009, c. 2, s. 428
- 2014, c. 20, s. 366(E)
- 2022, c. 10, s. 262
- 2023, c. 31, s. 7.2
- 2024, c. 15, s. 247
- (a) any practice whereby a supplier of a product, as a condition of supplying the product to a customer, requires that customer to