CMA still targeting bathroom industry

22 Jun, 17

Manufacturers urged not to ignore warning letters over fines

With the Competition and Markets Authority (CMA)  still closely looking at the industry following Ultra Finishing’s fine for resale price maintainance, bathroom members were urged to get in touch with the authority to avoid hefty fines.

The CMA had directly contacted the BMA to inform them, as a result of last years’ Ultra fine, several manufacturers had received warning letters which members were urged not to ignore.

CEO of the Bathroom Manufacturers Association Yvonne Orgill said at the AGM: “We are all aware that you must not dictate the price in which your products are sold and that policies that set a minimum advertised price for online sales, which can equate to RPM, are usually illegal. That is the law.”

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Bathroom manufacturers were reminded they could not hide their RPM agreement in pricing policies.

In addition, manufacturers were informed of recent legislation concerning Geo Blocking, which is when you block an IP address based on its geographical location, and is used in the industry to prevent certain markets from buying its products.

According to the latest legislation, which had only been outlined on June 20 2017, is it is now illegal and the blocking of IP addresses will no longer be accepted within the industry.

Yvonne Orgill stressed: “This may be different when we’ve left Europe, which will be another trade deal yet to be decided. But if we’re still part of Europe, and we accept that and take it with us, you will not be able to do [Geo Blocking].”