Brilliant Lighting has admitted to engaging in resale price maintenance and has submitted a court-enforceable undertaking to the Australian Competition & Consumer Commission (ACCC).
Brilliant Lighting is a wholesale supplier of fans, lighting, and electrical products. It sells these products to a network of at least 1439 retailers and distributors.
In September 2022, the company wrote to 42 retailers and distributors, telling them not to resell its 116 Brilliant Lighting products below certain prices. It added the right to distribute the products was based on adhering to these prices.
This conduct is deemed illegal under the Australian competition law.
“Resale price maintenance is illegal because it can stop retailers from competing on price, which means consumers pay more for goods and services,” said ACCC acting chair Mick Keogh.
“This is particularly problematic at a time when many Australians are facing increased cost of living pressures.”
As part of the undertaking, the company has committed to sending corrective notices to all affected retailers and distributors as well as establishing a compliance program.
This article first appeared on Inside Retail.