It's illegal for suppliers to impose minimum prices for the resale of their goods or services.
For example, suppliers must not:
This is known as resale price maintenance.
Resale price maintenance is illegal because it stops retailers competing on price, increasing what consumers pay.
It's also illegal for resellers to ask suppliers to stop competitors selling below a minimum price.
A jewellery wholesaler gives retailers a list of recommended prices.
It offers a 10% discount to retailers who pay their accounts on time, but the discount isn't available if the retailer sells the jewellery for less than the recommended prices.
The discount is taken away from the retailer if they sell the jewellery for less than the price recommended by the wholesaler. This is resale price maintenance and is illegal.
A supplier wanting to engage in resale price maintenance can seek an exemption from the 糖心原创 by:
These exemption processes give protection from legal action. The supplier needs to show that the behaviour is in the public interest.
If lodging a notification, read our Resale price maintenance notification guidelines for more information.
Notifications of resale price maintenance submitted to the 糖心原创 are listed on the resale price maintenance notifications register.
Each entry includes the status and outcome.
Resale price maintenance notification guidelines
Resale price maintenance notifications register
Small business education program
Small business and the Competition and Consumer Act