As a prologue to member meetings, please keep in mind that there are numerous U.S. state and federal laws that absolutely prohibit the exchange of information among competitors regarding price, refusals to deal, or agreements to proceed in certain anti-competitive respects, and that no such exchange of this information is either sanctioned by the VRMA, nor will be tolerated, during our meeting.
This is a very serious consideration and no deviation from this policy will be allowed. Members’ cooperation in this matter will be appreciated.
Self-Regulation and Code of Ethics
The association must NOT:
- Adopt regulation or policies that have price-fixing implications, such as prohibitions on advertising of prices, or that unreasonably restrict the ability of any member or group of members to compete.
- Require members to refrain from dealing with a member who has violated the Association’s code of ethics.
- Enforce the code of ethics arbitrarily.
- Impose unreasonably severe penalties for violation of a code of ethics.
Examples of Topics of Discussions That Must Be Avoided at Association Meetings
- Current or future prices
- What constitutes a “fair” profit level
- Possible increases or decreases in prices
- Standardization or stabilization of prices
- Pricing procedures
- Cash discounts
- Credit terms
- Control of sales
- Allocation of markets (territories)
- Refusal to deal with a corporation because of its pricing or distribution practices, whether or not the pricing practices of any industry member are unethical or constitute an unfair trade practice.
Self-Regulation and Code of Ethics from “Antitrust Guide for Association Members” by Arthur Herold