Commonwealth Numbered Acts

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TRADE PRACTICES ACT 1974 No. 51, 1974 - SECT 49

Price discrimination.
49. (1) A corporation shall not, in trade or commerce, discriminate between
purchasers of goods of like grade and quality in relation to-

   (a)  the prices charged for the goods;

   (b)  any discounts, allowances, rebates or credits given in relation to the
        supply of the goods;

   (c)  the provision of services or facilities in respect of the goods; or

   (d)  the making of payments for services or facilities provided in respect
        of the goods, if the discrimination is of such magnitude or is of such
        a recurring or systematic character that it is likely to have the
        effect of substantially lessening competition in a market for goods,
        being a market in which the corporation supplies, or those persons
        supply, goods.

(2) Sub-section (1) does not apply in relation to a discrimination if-

   (a)  the discrimination makes only reasonable allowance for differences in
        the cost or likely cost of manufacture, distribution, sale or delivery
        resulting from the differing places to which, methods by which or
        quantities in which the goods are supplied to the purchasers; or

   (b)  the discrimination is constituted by the doing of an act in good faith
        to meet a price or benefit offered by a competitor of the supplier.

(3) In any proceeding for a contravention of sub-section (1), the onus of
establishing that that sub-section does not apply in relation to a
discrimination by reason of sub-section (2) is on the party asserting that
sub-section (1) does not so apply.

(4) A person shall not, in trade or commerce-

   (a)  knowingly induce or attempt to induce a corporation to discriminate in
        a manner prohibited by sub-section (1); or

   (b)  enter into any transaction that to his knowledge would result in his
        receiving the benefit of a discrimination that is prohibited by that
        sub-section.

(5) In any proceeding against a person for a contravention of sub-section (4),
it is a defence if that person establishes that he reasonably believed that,
by reason of sub-section (2), the discrimination concerned was not prohibited
by sub-section (1). 


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