It is a restrictive trade practice for a trade association, or anyone acting on its behalf, to exclude unjustifiably a person carrying on or intending in good faith to carry on the trade concerned, or to make a recommendation, direct or indirect, to members about the prices they charge, their margins or pricing formula, or terms of sale (discount, credit, delivery, guarantee terms) that directly affect prices or margins, whether or not members are free to ignore it (section 22(1) and (2)). Recommendations about trading conditions are treated as an agreement among the members to comply, and a recommendation made through a third party to evade the Act is attributed to the association (section 22(3) and (4)); a member escapes only by notifying the association in writing that it dissociates itself entirely (section 22(5)).
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