Exclusive Dealings Illegal – Council
February 5, 2023
Schools and businesses are once again reminded that it is illegal to engage in ‘exclusive dealings’ for the supply of students’ school requirements. The fresh reminder comes after the Consumer Council of Fiji discovered that a prominent school uniform retailer has been advertising that they are the preferred supplier of school uniforms of several schools which were named in the advertisement.
In exclusive dealings, parents and guardians are informed by the school to only purchase items from one particular trader. The CCoF Chief Executive Officer Ms Seema Shandil says the hallmark of exclusive dealings is that it disallows competition as consumers are forced to believe that they have no choice but to purchase from a single trader at a given price.
“It is important that consumers understand that this phrase “preferred choice” at times is initiated by the traders themselves and therefore it may not have the consumers’ best interests at heart. It deprives consumers from choosing other traders and conducting comparative shopping because of the illusion that only one particular trader offers the product with the required specifications,” added Ms Shandil.
The Council is also reminding businesses that consumers have the right to choose therefore, should not engage in practices which breaches consumer rights. Consumers are also urged to ignore such advertisements and conduct comparative shopping, sticking to their preference and affordability.
Consumers are encouraged to notify the Council of any such instances if they feel that schools are colluding with businesses for profit to become exclusive suppliers of products. Any concerns can be raised via the Consumer Council of Fiji Toll Free Helpline 155.
Consumers are encouraged to notify the Council of any such instances if they feel that schools are colluding with businesses for profit to become exclusive suppliers of products. Any concerns can be raised via the Consumer Council of Fiji Toll Free Helpline 155.