The , as an independent law enforcement TRADE ASSOCIATION AND agency, ensures that Canadian businesses and consumers DOS DON’TS prosper in a competitive and innovative marketplace. The following “Dos and Don’ts” can help minimize the risk of issues arising under the Act. Headed by the Commissioner of Competition, the Bureau TRADE ASSOCIATIONS is responsible for the administration and enforcement of the Dos Don’ts Competition Act, the Consumer Packaging and Labelling Act, the AND THEIR MEMBERS Do establish an effective compliance program and, Don’t engage in communications at association Textile Labelling Act and the Precious Metals Marking Act. This pamphlet provides practical tips where practicable, appoint a compliance officer; meetings or social events about competitively Legal Actions that trade associations and their Do exercise care when collecting and sharing sensitive information. Private meetings between We have the ability to refer criminal matters to the Director of competitors under the pretext of association Public Prosecutions, who then decides whether to prosecute members can use to minimize the competitively sensitive information within before the courts. We also have the power to bring civil matters risk of violating the Competition Act. the association. Use a third party to collect meetings should be discouraged; before the Competition Tribunal or the courts, depending on the information and have it disseminated in Don’t use unreasonable disciplinary measures the conduct in question and applicable legal provisions. The Act governs many elements aggregated form so that it cannot be attributed to coerce members to provide information or Written Opinions of business conduct in and to any competitor; data for information sharing purposes; The Commissioner has the discretion to provide a binding contains criminal and civil provisions Do ensure that measures are in place to prevent written opinion to businesses seeking to comply with the aimed at preventing anti-competitive the disclosure of competitively sensitive information Don’t establish arbitrary criteria for membership Competition Act. Any person may request written opinions on that will exclude a competitor or category of whether proposed business plans and practices could raise practices in the marketplace. to or between individual association members; concerns under the Act. competitors from membership in the association; Violations of the Act can have serious Do ensure that association meetings have Questions or Complaints agendas and that minutes accurately reflect Don’t impose sanctions or discriminate against If you believe any of the laws under the Bureau’s jurisdiction consequences for associations and attendance and discussions; members that do not adhere to rules with respect have been breached, please fill out our online form, call, fax or write. their members. Everyone involved in Do ensure that attendees use caution during to competitively important considerations; an association has a responsibility to association meetings. If improper discussions arise, Don’t create a false impression that lower prices We are required by law to conduct our investigations in attendees should leave the meeting and have their private. We keep the identity of the source and the information stay informed and ensure compliance or fees are indicators of lower quality services; provided confidential, subject to certain exceptions. with the Act. departure noted in the minutes. The incident should be reported to association executives and/or legal Don’t use rules to establish prices, mandate This publication is also available online in HTML at: counsel and appropriate action should be taken; levels or types of services, restrict advertising, www.competitionbureau.gc.ca/eic/site/cb-bc.nsf/eng/03691.html or exclude viable competitors from the market; Do allow all members to attend annual and other Aussi offert en français sous le titre : general meetings so as not to exclude a specific Don’t use standard-setting to artificially provide Les associations commerciales et la Loi sur la concurrence Trade Associations firm or category of the association’s membership; some competitors with a competitive advantage Do find alternatives to recommended fee over others, including firms with the potential to and the IMMUNITY & LENIENCY guidelines to provide information to the public or enter the market; and association members on prices; PROGRAMS Don’t make materially false or misleading For More Information: Competition Act Do ensure that the exercise of standard-setting representations to the public promoting the If you have been involved in activities and other statutorily granted self-regulatory business interests of the association’s members. that may violate the criminal provisions powers is appropriately related to the regulatory www.competitionbureau.gc.ca of the Act, you could be eligible for mandate established by legislation; Toll-free: 1-800-348-5358 immunity from prosecution if you Do ensure that rules, codes of conduct or National Capital Region: 819-997-4282 TTY (for hearing impaired): 1-800-642-3844 are first to report the offence to the standards (rules) include a clear statement of Fax: 819-997-0324 Bureau. Others who self-report may objectives, expectations and responsibilities, as well as a transparent dispute resolution Information Centre qualify for lenient treatment. For mechanism; and Competition Bureau further information on our Immunity 50 Victoria Street Do ensure open consultations in the , QC K1A 0C9 and Leniency Programs, visit our website. development of any rules.

This publication is intended to provide basic information only. To learn more, please refer to the full text of the Acts or The Bureau has published a variety of publications that can assist trade associations and their members in contact the Competition Bureau. understanding how to ensure compliance of the Act. The publications are available on the Bureau’s website.

Cat. No. Iu54-44/2014E-PDF ISBN 978-1-100-22260-8