Janome and its Managing Director, Mr Toshiya Takayasu, have admitted engaging in resale price maintenance.

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According to the ACCC, Janome sought to impose a Minimum Advertised Price Policy on its retailers between February and April 2008. The policy, devised by Mr Takayasu, came into effect on April 1, 2008 and prohibited the retailers from advertising products at any price lower than the price set by Janome.

Janome suspended the policy in May 2008 after the Australian Competition and Consumer Commission raised concerns that Janome may have breached the resale price maintenance section of the Trade Practices Act 1974. 

Mr Takayasu and Janome offered the ACCC court enforceable undertakings. Janome admitted that it contravened the Act and has undertaken not to engage in the similar conduct in the future.  Mr Takayasu admitted that by his conduct he was involved in Janome’s breach. 

He has undertaken not to engage in the similar conduct in the future.

Acting ACCC Chairman, Peter Kell said, “The practice of resale price maintenance on advertised prices damages consumers because it prevents competition on prices. Wholesalers must understand that they cannot constrain the freedom of retailers to advertise and sell their products at prices determined by the retailers.”