CONDUCT FOR MEMBERS TO FOLLOW AT MEETINGS
The United States’ antitrust laws are contained primarily in the Sherman
Act, the Clayton Act, the Robinson-Patman Act and the Federal Trade
Commission Act. The Sherman Act prohibits conduct that restrains trade,
including certain joint activity by two or more companies or individuals, as
well as unilateral conduct that involves the exercise of monopoly power.
If you, as an association member, sit in a room while other members engage
in an illegal discussion, such as price-fixing, you and/or your company may
be held criminally liable even though you say nothing during the discussion.
Your attendance at such a meeting may be sufficient to find that you
acquiesced in the discussion and are equally as liable as those who vocally
agree to violate the antitrust laws. Although within certain sectors of the
industry, employees and officers from competing firms know each other as
friends and peers, in the eyes of antitrust enforcers, they are viewed
simply as competitors with the ability to collude in an anticompetitive
manner.
SDGFA members should adhere to the following general guidelines when
participating in SDGFA activities and NEVER DISCUSS:
Current or future prices (The only safe policy is to avoid any mention whatsoever of prices, even past prices);
What constitutes a “fair” profit level;
Possible increases or decreases in prices;
Standardization or stabilization of prices;
Pricing procedures, including margins, markups, cost percentages; or formulas or policies fro arriving at prices;
Cash discounts;
Credit terms;
Control of sales;
Allocation of markets by territory or customer;
Blacklisting or boycotting certain customers or suppliers;
Refusal to deal with a supplies because of its pricing or distribution practices;
Whether or not the pricing practices of any industry member or supplies are unethical or constitute an unfair trade practices;
Restricting or limited production, supply or output; or
Bids, or your intent to bid or not to bid on a contract.
It is important to bring
questionable conduct or potential issues to the immediate attention of legal
counsel.
Adopted: October 5, 1979
Amended: June, 6, 2008
