Section 45 makes it a criminal offence to enter into an agreement with a competitor to do which of the following?

Section 45 makes it a criminal offence to enter into an agreement with a competitor to do which of the following?

• A. Fix, maintain, increase or control the price of a product
• B. Allocate sales, territories, customers or markets for a product
• C. Fix, maintain, control, prevent, lessen or eliminate the production or supply of a product
• D. All of the above

Answer: (D)

Section 45 targets collusion between competitors that restrains trade. Any agreement to fix, maintain, increase or control the price of a product is a criminal offence. Likewise, agreeing to allocate sales, territories, customers or markets for a product is illegal. And agreeing to fix, maintain, control, prevent, lessen or eliminate production or supply also falls under this offence. All of these actions are forms of anti-competitive agreements, so they are all prohibited. That’s why the option that includes all of the above is the best answer.

Section 45 targets collusion between competitors that restrains trade. Any agreement to fix, maintain, increase or control the price of a product is a criminal offence. Likewise, agreeing to allocate sales, territories, customers or markets for a product is illegal. And agreeing to fix, maintain, control, prevent, lessen or eliminate production or supply also falls under this offence. All of these actions are forms of anti-competitive agreements, so they are all prohibited. That’s why the option that includes all of the above is the best answer.