South Africa Competition Act 89 of 1998
Chapter 2 Part A: restrictive horizontal and vertical practices – South Africa Competition Act 89 of 1998

South Africa Competition Act 89 of 1998 5-2: No minimum resale price maintenance; recommended prices clearly non-binding

What does 5-2 require?

Minimum resale price maintenance is prohibited outright (section 5(2)). Recommending a minimum resale price is allowed only if the supplier or producer tells the reseller plainly that the recommendation does not bind it and, where the price is stated on the product, it is marked 'recommended price' alongside the figure (section 5(3)). Pressure, threats of supply withdrawal or incentives tied to resellers' adherence to a price floor fall within the prohibition.

Maintained by Gerard Blokdyk

Other controls in Chapter 2 Part A: restrictive horizontal and vertical practices – South Africa Competition Act 89 of 1998

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