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Anti-Trust Guidelines
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Anti-Trust Compliance Policy/User Agreement

Antitrust laws explicitly prohibit agreements or understandings between two or more businesses to, among other things, regulate prices or quantities of goods or services, to allocate customers or territories, to hinder or limit a competitor or potential competitor’s operations or otherwise unreasonably to restrain business activity or to engage in discriminatory pricing or servicing.

NFDA is committed to full compliance with antitrust laws and will not risk impairment of the functions it performs as a trade association by misuse of any of its activities in a manner that might violate these laws. The guidelines set forth below, though not all inclusive, have been established to prevent any possible violation.

Prohibited Discussions

NFDA members shall not discuss or exchange with a competitor information regarding prices (except when buying from or selling to the competitor, and then only those specifics), any information which might affect prices (price differentials, discounts, margins, costs or terms of sale), customer lists, future pricing/marketing/policy plans, bids or procedures for responding to bids and any subject which unfairly affects competition.

Prohibited Agreements

NFDA members must not agree with competitors to uniform terms of sale, warranties or contract provisions. Furthermore, members must not agree to divide customers or territories with a competitor.

Prohibited Actions

NFDA members shall not act jointly with one or more competitors to put another competitor at a disadvantage. Members may not attempt to prevent a supplier from selling to a competitor. Members cannot boycott or refuse to deal with a particular supplier or customer.

Consequences of Violating the Antitrust Laws

Violation of these laws can be costly, involving possible jail time and heavy fines. The rules above are not complete. Any activity involving agreement or joint action with your competitor may be illegal. Members of NFDA must understand the prohibitions and requirements of the antitrust laws for several reasons: (1) an understanding of the laws is essential to compliance; and (2) by understanding the laws, NFDA members will be able to protect themselves and NFDA from violations of the law caused by others. By using the NFDA website, users agree to abide by these guidelines and NFDA’s Antitrust Compliance Policy.

Robert Hanna, NFDA Legal Counsel, Tucker, Ellis & West LLP.

3020 Old Ranch Parkway #300
Seal Beach CA 90740
Phone: 562-799-5519 Fax: 562-684-0695

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