Resale Prices Act 1976
| Year | 1976 |
Resale Prices Act 1976
1976 CHAPTER 53
An Act to consolidate those provisions of the Resale Prices Act 1964 still having effect, Part II of the Restrictive Trade Practices Act 1956, and related enactments; and to repeal the provisions of the Resale Prices Act 1964 and the Restrictive Trade Practices Act 1968 which have ceased to have any effect.
[26th October 1976]
Be it enacted by the Queen's most Excellent Majesty, by and with the advice and consent of the Lords Spiritual and Temporal, and Commons, in this present Parliament assembled, and by the authority of the same, as follows:—
Part I
MaintenanceProhibition of Collective Resale Price
1 Collective agreement by suppliers.
(1) It is unlawful for any two or more persons carrying on business in the United Kingdom as suppliers of any goods to make or carry out any agreement or arrangement by which they undertake—
(a ) to withhold supplies of goods for delivery in the United Kingdom from dealers (whether party to the agreement or arrangement or not) who resell or have resold goods in breach of any condition as to the price at which those goods may be resold;
(b ) to refuse to supply goods for delivery in the United Kingdom to such dealers except on terms and conditions which are less favourable than those applicable in the case of other dealers carrying on business in similar circumstances; or
(c ) to supply goods only to persons who undertake or have undertaken—
(2) It is unlawful for any two or more such persons to make or carry out any agreement or arrangement authorising—
(a ) the recovery of penalties (however described) by or on behalf of the parties to the agreement or arrangement from dealers who resell or have resold goods in breach of any such condition as is described in paragraph (a ) of subsection (1) above; or
(b ) the conduct of any domestic proceedings in connection therewith.
2 Collective agreement by dealers.
(1) It is unlawful for any two or more persons carrying on business in the United Kingdom as dealers in any goods to make or carry out any agreement or arrangement by which they undertake—
(a ) to withhold orders for supplies of goods for delivery in the United Kingdom from suppliers (whether party to the agreement or arrangement or not)—
(ii) who refrain or have refrained from taking steps to ensure compliance with such conditions in respect of goods supplied by them;
or,
(b ) to discriminate in their handling of goods against goods supplied by such suppliers.
(2) It is unlawful for any two or more such persons to make or carry out any agreement or arrangement authorising—
(a ) the recovery of penalties (however described by or on behalf of the parties to the agreement or arrangement from such suppliers; or
(b ) the conduct of any domestic proceedings in connection therewith.
3 Recommendations.
3. It is unlawful for any person carrying on business in the United Kingdom as a supplier of or dealer in any goods to make to any other person carrying on such a business any recommendation to act in such a manner that, if there were an agreement between those persons so to act, the agreement would be unlawful by virtue of section 1 or section 2 above.
4 Associations.
4. Sections 1 to 3 above apply in relation to an association the members of which consist of or include persons carrying on business in the United Kingdom as suppliers of or dealers in any goods, or representatives of such persons, as they apply in relation to a person so carrying on business.
5 Exclusive dealing.
5. A contract for the sale of goods to which not more than two persons are party is not unlawful under this Part of this Act by reason only of undertakings by the purchaser in relation to the goods sold and by the vendor in relation to other goods of the same description.
6 Discounts and part exchanges.
6. For the purposes of this Part of this Act a condition—
shall be treated as a condition as to the price at which goods may be resold.
7 Hire-purchase agreements.
7. The provisions of Schedule 1 to this Act, which relate to hire-purchase agreements, have effect for the purposes of this Part of this Act.
8 Interpretation of Part I.
(1) In this Part of this Act—
‘goods’ includes ships and aircraft, minerals, substances and animals (including fish);
‘price’ includes a charge of any description;
‘supply’ includes supply by way of lease or hire, and ‘acquire’ shall be construed accordingly.
(2) This Part applies to the construction or carrying out of buildings, structures and other works by contractors, as it applies to the supply of goods, and for the purposes of this Part any buildings, structures or other works so constructed or carried out shall be deemed to be delivered at the place where they are constructed or carried out.
(3) For the purposes of this Part a person shall not be deemed to carry on a business within the United Kingdom by reason only of the fact that he is represented for the purposes of that business by an agent within the United Kingdom.
(4) For the purposes of any provision of this Part referring to two or more or not more than two persons, two or more persons being interconnected bodies corporate or individuals carrying on business in partnership with each other shall be treated as a single person.
Part II
Individual Minimum Resale Price Maintenance
Prohibition of individual resale price maintenance
9 Minimum resale prices maintained by contract or agreement.
(1) Any term or condition—
(a ) of a contract for the sale of goods by a supplier to a dealer, or
(b ) of any agreement between a supplier and a dealer relating to such a sale,
is void in so far as it purports to establish or provide for the establishment of minimum prices to be charged on the resale of the goods in the United Kingdom.
(2) It is unlawful for a supplier of goods (or for an association or person acting on behalf of such suppliers)—
(a ) to include in a contract for sale or agreement relating to the sale of goods a term or condition which is void by virtue of this section;
(b ) to require, as a condition of supplying goods to a dealer, the inclusion in a contract or agreement of any such term or condition, or the giving of any undertaking to the like effect;
(c ) to notify to dealers, or otherwise publish on or in relation to any goods, a price stated or calculated to be understood as the minimum price which may be charged on the resale of the goods in the United Kingdom.
Paragraph (a ) does not affect the enforceability of a contract of sale or other agreement, except in respect of the term or condition which is void by virtue of this section.
Paragraph (c ) is not to be construed as precluding a supplier (or an association or person acting on behalf of a supplier) from notifying to dealers or otherwise publishing prices recommended as appropriate for the resale of goods supplied or to be supplied by the supplier.
10 Patented articles under s. 9.
(1) Section 9 above applies to patented articles (including articles made by a patented process) as it applies to other goods.
(2) Notice of any term or condition which is void by virtue of section 9, or which would be so void if included in a contract of sale or agreement relating to the sale of any such article, is of no effect for the purpose of limiting the right of a dealer to dispose of that article without infringement of the patent.
(3) Nothing in section 9 and in this section affects the validity, as between the parties and their successors, of any term or condition—
(a ) of a licence granted by the proprietor of a patent or by a licensee under any such licence; or
(b ) of any assignment of a patent,
so far as it regulates the price at which articles produced or processed by the licensee or assignee may be sold by him.
(4) References in this section to patented articles include references to—
(a ) articles protected by the registration of a design, and
(b ) articles protected by plant breeders' rights or a protective direction under Schedule 1 to the Plant Varieties and Seeds Act 1964 ,
and references in this section to a patent shall be construed accordingly.
11 Minimum resale prices maintained by other means.
(1) It is unlawful for a supplier to withhold supplies of any goods from a dealer seeking to obtain them for resale in the United Kingdom on the ground that the dealer—
(a ) has sold in the United Kingdom at a price below the resale price goods obtained, either directly or indirectly, from that supplier, or has supplied such goods, either directly or indirectly, to a third party who had done so; or
(b ) is likely, if the goods are supplied to him, to sell them in the United Kingdom at a price below that price, or supply them, either directly or indirectly, to a third party who would be...
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